My Chinese Darlings...
Readers of blog (i dont think there's alot to start with), will know that i am pretty bullish in the Chinese Market. I am still bullish. It's a good thing that Trump is insinuating that he does not mind pushing back the 1st of March deadline. My recent Chinese darling Sasseur has just staged an unprecedented bull run of 14% for the past 2 weeks. That is sweet!
I have 5 Chinese darlings. These constitute around 25% of my entire portfolio.
1. Capita Retail China Trust (Retail)
2. BHG (Retail)
3. Dasin (Retail)
4. EC World (E-Commerce)
5. Sasseur (Retail)
Special mention is reserved for my first love ,CRCT which was 1 of the first few REITs i bought when i first entered the foray. I have went through think and thin with this counter. It is currently at its down moment again. However, i have trust in this darling as it is part of Capitaland.
I know how most people will "siam" anything make in China because of the lack of transparency. The recent article about Best World, renewed this fear i guess. I am currently watching this Chinese drama 大浦东。 It's a drama about how Shanghai Pudong was transformed from a backwater village to 1 of the top financial centres in the world. The show is full of propaganda to talk about the great CCP of China, how they engineered all this successful story. It can be a little cheesy, but still interesting.
After all, Shanghai Pudong is really a great financial centre now, isnt it. 1 of the main saga in the show revolves around the IPO of a biomedical company during the nascent phase of the Shanghai Stock Exchange. The Company in the show reportedly made Ant Essence, same like Chicken essence but made of Ants. Everyone was excited about it, and the Company followed a MLM structure which promise good profits to all (which reminded me of...you know the Company). In the end, it was all a scam as the essence was just chemical stimulant. The IPO didnt happen, and the people involved either got jailed or ran away with whatever money they have.
What is the lessons learnt here? If it is too good to be true, most probably it isnt true. However, i really cant see any similarity between my 5 chinese darlings and the fictional company in the show. Share price has been dropping since IPO. There is no overly ridiculous illustrious result. In fact, maybe slightly above mediocre.
What will i do next then? I will perhaps take some money off the table like what i mentioned in the previous post though.