Start accumulate China select ETF's stock funds.

PaulRen's picture
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Non Thai Article

This is the first time I write about China investment as new value-stock investment idea, here.  (Not a Thai stock article).

I now think China stocks generally so are likely in a major bottoming process... No need to here review all the dire graphs showing the tremendous sell-off in Chinese/Hong Kong stocks over say the past 2-3 years, nor the dire challenges this country has on hand, not least due to the very troubled/overbuilt property sector and US bullying/tariff/protectionism.  Hong Kong still has a bright long term future as its essential in facilitating/enabling/financing the long term China growth story!  

Still, I think at the 2024 China New Year now, the sell off there is likely overdone and I view to start accumulating!  Not least due to the lethargy of the Thai SET, likely to drag on.  (BTW, I hear there will be SET mgt. changes coming shortly, bravo.)  But I not view picking individual Chinese stocks, which is too difficult and tricky...instead, buying ETF funds.  Here are my 3 ways, I view favorably:   CN01 (16.90) and HK01 (14.80) these are in Baht denominated Chinese ETF funds.  Launched by Bualuang Securities.  Yes, foreigners can buy these, -but its important to take off the NVDR setting on your Streaming app. when buy/sell,  as these are not NVDRs!  

The other one I researched which got my vote is Bangkok Bank's offered CAPCTECH fund, called the CAP China Technology fund, NAV just now around 3.28 Baht. This fund was launched around 3 years ago at 10 Baht, briefly moved to near 14 and just now trading at around 3.28.  I view this fund as a good way to auto accumulate-buy via Baht cost averaging, i.e. set this up with the BBL bank to automatically accumulate every month. (In the US this is call "dollar-cost-averaging").  As we don't where the bottom is but are confident its likely a solid time to just keep accumulating over time and averaging-in is a very good way to do this at present, in my view.  This fund has a very reasonable 0.85% front end fee and no selling fee -but at the outset must be started by visiting a BBL branch, in person.. And yes it can be set up to automatically deduct any amount you are comfortable with, to invest monthly on the day you specify.  Once set up you can monitor, buy/sell directly through BBL bank mobile phone secure APP, by clicking "investments". 

Best Regards,

Paul A. Renaud.
www.thaistocks.com