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The China trade is back
After a slew of Chinese stimulus announcements hit the airwaves, investors both in China and the US were back to being hot on Chinese stocks. However, after this huge
FXI Vs. KWEB: If I Had To Buy One Chinese ETF As A Former China Expat
Summary
- The resurgence of China trade presents new investment opportunities, driven by improved economic indicators and favorable government policies.
- Comparative performance analysis of KWEB vs FXI reveals a far lower VIE weighting for one of the two.
- The SEC recently produced a white paper regarding VIE listed Chinese companies, many listed in Hong Kong are also VIEs.
- Chinese stimulus may still be a problem given the massive size of the population and getting the subsidies and benefits into the right hands.
I'm a full time value investor and writer who enjoys using classical value ratios to pick my portfolio. My previous working background is in private credit and CRE mezzanine financing for a family office. I'm also a fluent Mandarin speaker in both business and court settings, previously serving as a court interpreter. I have spent a good chunk of my adult working life in China and Asia. I have worked with top CRE developers in the past including The Witkoff Group , Kushner Companies, Durst Organization and Fortress Investment Group.
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