I keep hearing that China is going to pull the world out of the recession. How are people investing in that market? Besides buying resource companies (coal? potash?) is it advisable to buy China's stocks directly? Or is it better to go with a fund?
I'm not saying Chinese economic growth won't be strong. It is already affecting the world in important ways. It is just that the benefits will mostly go to Chinese workers and management, not foreign investors. Also, investors already expect healthy returns from Chinese stocks and the valuations already discount that. Still, this is just my opinion and I could be totally wrong. Then, I'd be happy that I had some exposure to Chinese stocks through VWO.- but I feel that we NA's are so limited in our investment options that most won't profit much.
Exactly how I feel , I hope North Americans realise that now in the midst of high unemployment we are going to need the jobs we gave away to the lowest bidders like China.I think the rest of the world is also going to figure out that they cannot continue to export their manufacturing to a country that has no effective controls over safety, pollution, or product purity/quality, and that is going to require a major correction in China's manufacturing costs to fix..