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Strategies & Market Trends : HONG KONG -- Ignore unavailable to you. Want to Upgrade?

To: Auj who wrote (890)	11/17/1997 11:40:00 AM
From: ----------	Read Replies (3) \| Respond to of 2951

Jean: I've been investing in HK stocks since @1985. I started for a couple of reasons: 1) Historically the Hang Seng has been one of the top markets in the world. Look at how many times it shows up in the top 5 over the last 15 years. 2) My first purchase was the old Hong Kong Shang Hai Bank, now HSBC. At the time it was the defacto Federal Reserve bank of Hong Kong. They printed the money, etc. In the mid 1980's the U.S. was having its' own banking crisis, but NONE of the Federal Reserve Banks were in trouble. It just seemed logical if I could buy stock in a bank that could legally print money and was controlled by the government, there was very little chance I would lose money. (My logic may seem childishly simple, but the results have been very nice.) 3) In my own way, I pretty much understand how certain stocks work in HK. My second buy was CITIC Pacific Ltd. They had very good Quan-Xi (pardon spelling, pronounced Gwan-Gee) with Chinese Central committee. One of Deng's relatives was a Vice President in the company. In my experience, it has been profitable to invest in companies with good ties to the Government. Unlike the U.S. Government, HK & Beijing understand the word "profit" and do not think it is a bad word. Updates on the Hang Seng are at : imsp003.netvigator.com Crisis? When investing there will always be something to worry about.<g> The one thing HK investing has taught me is patience. I never try to time or play the market. This is the third major downturn I have experienced in HK. But HK is like a hard rubber ball....you throw it down hard, it bounces up higher. <g> Just my thoughts, no advice intended. Regards, Doug