Seeking Alpha

rlirph » Comments » ETN

  • Why I'm Buying Morgan Stanley China A-Share Fund [View article]
    As of today the A shares in general trades at a 37% premium to its underlying H shares. This is reflected in looking at the Hang Seng China AH Premium Index. The underlying stock is identical except one is listed in China while the other one is listed in Hong Kong.

    Because the China's market is closed to outsiders (including Hong Kong residents) stock prices in that market can be different than the same stock listed in Hong Kong. With the eventual opening up of China's financial market who will be willing to pay this 37% premium?

    An US expat living in Guanghzou...
    Apr 21 20:47 pm |Rating: 0 0 |Link to Comment
More on ETN by rlirph
rlirph's
Comments Stats
95 comments
Rating: 26 (55 - 29 )