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China stock boom

Now china i s trying to pol i sh its actin decembe r

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Now China i s trying to pol i sh its actIn Decembe r the government is expected toopenitsbank1ng a n d . te l ecomnlun i ca t ions sectors to for- eign companies, fulfillingi t s oblig- ations under t he rules of the World Trade . Organization. Butbefme it can do that , china has to prepare it s . owncompanies to comPete. To con- vince the worldo f their global qual- ity , the big ban ks, oilcompanies l ike . Pe t ro China, and communicat i ons giants such as Ch i na Mobile are lis t - _: . __ . _,_ _ , _ : . -.- c. _ •. · B~mpYRide i . Chjl1ese. s tocksl1a~ooe i 1 volatile. . i ngno t on . the ma i n l and Shenzhen and Shanghai markets bu t on the · Hong Kong . e x c h ange, which i s open to Western investors , and SODletimesonu.S. e x - . change s as well. The IPO . process , wbich br i ngs Chinese corpo- rations t ogether w i th big Western bank s, al - lows them to draw on t h e banks' m a nage- m<;: n t,bookkeeping, and governance expemse. " Beinglist e d isaCOnScious stiategy : . to hav e the listing bean agent ofchange ," says Mar k H e adl e y, a fund manage r at California~based Matthews Funds , w hich focuse s on Asia. "It forces t hese compan i es t o become gl o b a l-qu alit y. " In turn the t r end i s i nc r easing l y making China's most stable, robust , and mature sectors ava i lable to . . Western investors. And the result" ing influ x of capit a l i s h e lping the nation ~ scompanies growlarger than ever before . ( I n FORTUNE'sSept . 4 issue wepublished our annua l list of the 100biggest publicly held corpo- .rations in China- a group i ng ofthe prem i er businesses that as awhole reflec t t he challeng e s a Il d{)P P o ® ~ ni t ies of invest i ng in t he Chines e . mar k e t;s ee f ortune. c o m . ) Ifonly investing in the country · w ere as easy a s ju s t . snatcmngup thes t ocks at th e t op of the China . 1 0 0 . T he l i st , w h i c h . Shows that resources and ene rg y Comp a nies did ve ry wel l while some mater ia ls . and electronics companies slid, is agreat plaCeto star t But just because abig company goe s publi c in a h i g l l-pro- . file dea l doesn ' t mean its stockis b leSs ed . . Tak ef uose big-banklPOs , for example. Nearly a y ear after its offering, the nation' S third- l arges t b a nk , Ch i na Construct i on, has de- live r edahandsome 43 % g a in.At the s a me t im e , its equally touted c oun- terpart , Bank of Ch i na, has dropped 1 % w h ile the rest of t h e marke t booms. Rather than ch
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