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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?


To: MCsweet who wrote (39267)9/14/2010 1:19:55 AM
From: Jurgis Bekepuris2 Recommendations  Read Replies (1) | Respond to of 78732
 
If it looks too good to be true, it probably is. One possible exception is in an economic crisis when even reputable companies can sell for cheap as institutions/hedge funds are forced to liquidate large positions.

Which is what happened last year. Which is what is happening this year when people dump shares because of panic, double-dip, China is going to crash/die/burn, etc. Most of the Chinese small caps are not owned by mutual funds. They are too small and illiquid for that. They are owned by Yahoo pump-and-dump crowd that only recognizes the momentum and trades on it.

It's fine if you prefer not to invest there. It's fine if you want to persuade others not to invest there. People who prefer to invest there will get to buy more shares at cheaper prices. :)

I don't think you are adding much substance to the debate by throwing out generic cliche comments though. We have already heard 100 times that Chinese small caps are all fraud and self dealing American-investor fleecing bastards. How about something concrete about GFRE or any companies you are interested in? Why should WE persuade you to buy GFRE? Why can't YOU do some DD that would persuade you to do it and share it with us? Or share some DD that shows that GFRE is a self-dealing Chinese microcap scum?

Good luck