Access to the Chinese stock market is getting much easier, and for investors, the timing could not be better, because the market is delivering strong returns, the Associated Press reports.
According to
Philip Ehrmann, who heads up Pacific and emerging markets for London-based
However, even as the country shores up manufacturing and considers loosening its tight money control laws, there is still significant risk in investing in China. After all, history indicates that the Communist country is not immune to political unrest and quick economic downturns. Those trying to avert those risks have much of their money in Taiwan and Honk Kong, rather than mainland China itself.
Ehrmann admitted that it is only natural for investors to be concerned about the politics of China, but maybe not as much as in the past. "Of course, many investors will question China's rights record, and rightfully so. But the chance for political upheaval, in our view, remains slim," he said.