Ruihanshi

Brazil Now the Largest Emerging Market

The reason that Brazil is bigger is largely due to the fact that large Chinese companies list on exchanges around the world and that foreign investors have largely been kept out of the domestic Chinese stock market until very recently. The passage of the QFII rules has brought more foreign money into the market, but given that most of the best companies already list in places like the US and Hong Kong most foreign investors see no reason to buy shares in the Shanghai exchange.

China Stocks Data Points • More than fifty PRC companies are currently listed on foreign stock exchanges • The aggregated market capitalization of just the top 10 PRC companies listed on U.S. stock exchanges is more than $361 billion.