I cannot understand why Hang Seng went up so much today .... is the election result the cause? Does it mean the majority of HK people supports pro-democracy group? If so, how is this piece of news bullish???

It shows stability. Investors like stable stuff. Now china cannot do anything but listen to the Protesters already.

This election is only at district level right? The Chief Executive has to be appointed by China as the elected candidate from 1200 member is non-binding it seems. This means China has ultimate control and any increase in pro-democracy support is likely to increase instability, not reduce. I really don’t think “China cannot do anything but listen to protestors”

Some of the legislation will be elected by these council people.

I read the district councils will mostly deal with rubbish collection, town-planning, and the likes,... steering to democracy may be a bit far-fetched for them.

Anyway, so long as no more vandalism and street-fights is good enough,...

Good also that they won,... now they don't have a need to exert violence anymore. If the ruling party won,... more violence, I think,....

Yes, 117 members out of the 1200 members are councillors. But bro aspartame brought up a good pt,... that China still has a final say,.... maybe true also. CCP would want to ctrl everything and everybody.

Frankly, bro,... sidetrack a bit,... Msia is still a good place, relatively,... outside of the weak Ringgit,.. other things are still acceptable. If govt is slow and not so on-the-ball,... to me it's quite okay. We just need to either slow-down with them, or don't participate in certain activities.

I think the Chinese govt controls everything very hard.. directly and indirectly,....

JMHO.....

buy China related shares listed in HK

any example ETF?

2822. Mostly aim A shares in china

https://www.bloomberg.com/quote/2822:HK

can refer the fund invest in wat company.

Ping An, KweiChou Moutai, CM bank, and some property counter

For myself,... and other SGreans who hold SGD,... the forex risk is high for holding the HKD. Today, I have many pals in SG who kept telling me that they're holding so much HKD and AUD which have weakened badly against their/my SGD. Want to chg back - losing out in exchange rate.

Perhaps if our natural currency is the RM, the scenario would be different. I have not made the study.

I just invested in one small 'testwater' lot of HSBC HK, though I am in the green now (holding price HKD58.15, I think),... if I convert back into the SGD, I'm still losing out on exchange rate.

Maybe if convert back into the RM, might gain,... but we have to be conscious of the mechanism here. Some mechanisms will just 'force' us to lose out.

The China companies, like AliBaba, earn revenue in RMB not HKD. So the right currency to be worried about is RMB.

In the situation where HKD is to weaken, then the stock should go up HKD wise, all things being equal.

Of course a HKD peg break is a big market negative event n risks assets globally will be negative.

This post has been edited by Cubalagi: Nov 27 2019, 12:20 PM

Buy either the HSCEI etfs or the China A shares ETFs, there are many to choose form.

Tq bro,...

Yeah,... reg RMB, I was losing out too from my investments earlier in a ctr in SG : ec World REIT. Their distributable income in the RMB keeps rising vs the previous corresponding period, BUT after conversion into the SGD for dividend payouts to unitholders, it keeps dropping period to period till today.

From yr statements above,... yeah, I can relate to Alibaba then,... in fact I was studying to apply for IPO last week. But decided against it.

wah...... BABA has risen close to 10%. Isn't it overbought already?

Got more upside if trade deal signed. PE is still lower than Amazon, with higher earnings growth.

My exposure to Baba is currently via a Bursa Malaysia Etf (0829EA) which has a 11% exposure in Baba. Currently, it's invested in the US one, but I expect it will convert to the HK one next month.

Baba will join one of these 2822 and 2828 indices soon?

Not 2822. That's China A index. Mainland China listed stocks. No Baba there. 2828, which tracks HSCEI index, is quite likely, but I dont know when. Baba could even join the main index, HSI, soon enough.

Bros,.. this writeup is via courtesy of Bloomberg News, and selected by DBS Treasures, DBS Chief Investment Office.

MAINLAND CHINA & HONG KONG

Equity traders cheering the prospect of a restoration of stability in Hong Kong keep getting disappointed.

Stocks fell on Tuesday (26 November) with the Hang Seng Index down 0.29% to 26,913.92, as the city’s leader Carrie Lam offered no new concessions in her first public comments since Sunday’s vote. It follows Monday’s 1.5% gain in the Hang Seng Index, partly triggered by a landslide election victory for pro-democracy forces. Some analysts were predicting the results would force the government to address issues that have fuelled the unrest.

It is difficult have a view on Hong Kong’s equity market. Despite violent street protests and events such as a university siege, stocks have shown a tendency to revert to the mean for the better part of four months. The Hang Seng Index is more than twice as volatile as when protests began in early June, even though the index is basically flat.

This month has been particularly tricky for anyone trying to time the market. Hong Kong stocks lost USD118b in value on 11 November, their worst day in more than three months, after police shot and wounded a protester. A week later they rose, despite a dramatic standoff between protesters and police at a local university. A short squeeze then followed, stoking the world’s biggest gains. That ended after only two days.

For investors tired of the whiplash, hopes were high that another day of gains for the Hang Seng Index on Tuesday would provide a much-needed breather. But even if the weekend’s peaceful vote removed some near-term uncertainty, stock bulls have plenty of reasons to stay on the side lines. Turnover in Hong Kong was below this year’s average for 14 straight days before Alibaba Group Holding Ltd’s debut, showing a lack of conviction either way. – Bloomberg News.

Meanwhile, the Shanghai Composite Index eked out a 0.03% gain to 2,907.06.

Day by day it's very volatile, but the market has been trending up since mid Aug. I would say avoid HK domiciled stocks and stick to Chinese stocks (HSCEI). HSCEI index is up nearly 8% since Aug compared to HSI which is up 6.77%.

Morning all,... Tq bro CL for above comment. You could be right,...

All bros,... I don't remember which thread that we discussed abt the HK Human Rights and Democracy Act in, so I'll just update here. Saw in my phone when I got up this morning that POTUS has signed this act.

I have not read the details yet,.... but well,... I'll just reiterate something that I dad mention earlier in the oher thread.

This act affects the HKD pegging in some ways, though perhaps very minutely.

The gist of this act is,... the Secretary of State of the US will review the state of autonomy (meaning independance at state level of decision-making) every year. If he is not satisfied with the level of autonomy, he can sanction the HK Govt.

This just means we will face risks every year when the evaluation date comes.