Wrapping up 2012 it’s worthwhile comparing the performance of four emerging market small cap exchange traded funds with a diversified BRIC ETF.
Investors in Chinese stocks cannot get a break as the mainland index falls to its lowest level in four years and normally defensive consumer-staple companies fall the most in three years.
Billions of investment dollars have started flowing back into China recently. Indications are that the Chinese economy is stabilizing and that investors are becoming concerned they might miss the recovery. Challenges persist however and the short term future is uncertain.
Jim O’Neill, Chairman of Goldman Sachs Asset Management and the legend behind the BRIC acronym (Brazil, Russia, India and China), made headlines this week proclaiming the time to get back into China investments is now.
A report issued August 10 by Barclay’s economists Jian Chang, Yiping Huang, and Steven Lingxiu Yang suggests the slowdown in the Chinese economy may be over and that growth will accelerate during the remainder of 2012.
Just as new emerging market ETFs can be created, so they can be eliminated. One very important trading and investing consideration is liquidity. Can you find a seller for your shares when you need to, or are you stuck with shares you can’t sell?
Size isn’t everything, but there are limits to how small traders are willing to get in pursuit of market-beating performance — especially in notoriously volatile emerging markets.
U.S. China Mining Group (SGZH, quote) reported solid profits of $7 million on $54 million in sales today. The Chinese coal mining company brought up concerns about China’s railway system, however, noting that some sales decisions were based on who could move the coal instead of who could pay the most for it.
Leading Chinese pharmaceutical company Sihuan Pharmaceutical announced March 11 that its application to register Tylerdipine Hydrochloride has been accepted by the Chinese State Food and Drug Administration. The new drug is the first anti-hypertensive developed by Sihuan Pharmaceutical’s in-house research and development team.