Unformatted text preview: the tail of the Chinest&lt;dragon, you have to hang on t igh t . I I . .-- . ' ,'- .- . . . . ' .. '. &quot; :'. : : ~- : ', ' &quot; ,-: -,-- :- :- : ', . , ponential r ise o f the count r Y's mid- ~ d soo ri er or laterprofit margins dIeClass,which is giving c onsumers \ v i ll be erod e d. &quot; . . the money t o b I JyeverytlriJlgfrOmin- '. '. BuyiIl~indiv i dual Chinese stocks sutance to ice cream with a ven-has gotteneasier &gt; Twenty-twocom- geance . &quot;The most signifiCantdevel- paniesonthe Chiila 100 are listed opment is . a purcha.siilg~power onAillerican excha.nges,vs.l~ the . increase,&quot; she says,pointing to mar-year bef6n::.Butthat doesl l 't mean . ket leaders like China Mobile,iil- it's wise. &quot;It ' s atypical emerging surance company China Life , a rid marke t , saysXue ~ ''High volatility AirChinaasthetypesofbusinesses and high risk&quot; . that stand to benefit Thus, for most foreigners thebest Frederick J i ang , who manages way to i nvest in China- is to b u y one the1vy PacificOpportunities fund, . oftbe~()wingarray &gt; likes those sector-leading picks tOQ, of mlitualfundsorex- , . but for a slightly different reason . chan~ectraded funds Many &quot;public&quot; companies in China focused on the coun &quot; are st i ll state '-owned enterprises m try. Still, Morningstar which the government keeps as analystWilliamRoc O much as a 75% stake. That often : cantions that even means the compamesare assured of China , ~focused fi l nds maintaining their dominant posi- are toonarrow and volatile for : ariy- tion. &quot;You want to focus on almost- one who doesn't already have a monopoly powers,&quot; says Jiang . On broad international portfolio . the other hand, Jiang steers clear of One solid choice is Matthews sectors traditionally thought to be China (MCHfX),managed by Mark the nation ' s strengths : manufactur- Headley and Richard Gao, a for- ing and exports. &quot;In China capital . mer Bank of China trader. The is cheap, labor is cheap, and tech- . fund has a 17 . 4% average return nology is readily av~ilablt':,&quot;be says . over the past five years and one of &quot;We see veiyfierce competition , the lowes t e x pense r atios, 1.3% , FFEDBACK inv es [email protected] of any China fund. Moreover Gao , For aDthe latest stoc:k data an d . In-depth research and analysis, go to FORTUNE's home on the web, CNM l\'l Q ne y .eom....
View Full Document
- Two '12
- People's Republic of China, Shanghai Stock Exchange, China Construction Bank, Hong Kong Stock Exchange