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Monday, June 15, 2009

China and India: Investing In "Chindia" Again



Well, it seems its time to start investing in "Chindia" (China and India) again; emerging markets are the way to go now it seems...here are 12 Chinese stocks to consider...for long term investing (the next 3 to 10 years):

Two leading energy plays for both growth and income:
PetroChina (NYSE: PTR)

Growth opportunities in the online gaming sector are the leading players in the Chinese internet gaming industry NetEase.com (NASDAQ: NTES)

There is higher risk speculation in the biotech sector Sinovac (ASE: SVA).

Don't forget the wireless telecom sector as a means of investing in China...current favorites are the two largest wireless carriers in China
China Unicom (NYSE: CHU).

For the more speculatively-inclined there is strong upside potential in a pharmaceutical research firm,

Then there's the medical sector, such as medical diagnostics device maker Mindray Medical (NYSE: MR).

Others in the healthcare field are China Nepstar (NYSE: NPD), a firm that is changing the fragmented market for mom-and-pop drug stores stores to a larger pharmacy chain model.

And of course life insurance, a growing market based on China's demographics

A safer route may be investing with global fund manager Mark Mobius, a "protege of Sir John Templeton."

Another diversified stake in China through a mutual fund could be the
China Fund (NYSE: CHN), which includes companies in China, Taiwan, Hong Kong and Macau.

In addition there is the diversified approach through an ETF. Play China through Hong Kong such as

Finally, while Qualcomm (NASDAQ: QCOM) is not a China-based stock, the wireless technology company is a play on the roll out of a 3G network in China.

(Source: Bloggingstocks.com)

Now, here are 7 India stocks/funds to consider...

HDFC Bank (NYSE: HDB) as the best-run bank in India.

ICICI Bank (NYSE: IBN) is an attractive banking alternative to HDFC.

Dr. Reddy's Labs (NYSE: RDY), a generic-pharmaceutical company with a cost advantage and a global reach.
Yes, those stocks now are at higher prices than they were in February, but interested investors may still want to consider new positions.

Infosys (Nasdaq: INFY), which has exposure to the economic troubles of the West, where the majority of its clients are situated.
Infosys is forecasting its first-ever dollar revenue decline, projecting a fall of between 3% and 7%. And while a weak Indian rupee has meant that earnings measured in rupees have risen, U.S. investors have seen their ADRs lose value in dollar terms. But given that Infosys' growth has been driven by its ability to decrease costs for its customers via its outsourcing strategy, growth should resume once this storm passes.

Then there's Wipro (NYSE: WIT)
and...
WNS Holdings (NYSE: WNS). Like Infosys, Wipro and WNS are geared toward outsourcing -- Wipro in software, WNS in business services from health care to airlines. WNS is much smaller than Wipro and Infosys, so it carries more risk

Finally, a diversified fund approach could be Matthews India (MINDX) fund. The fund has a reasonable expense ratio of 1.29% and owns a mix of mostly large and mid-cap stocks. The fund was hard-hit in 2008 (along with nearly every other equity fund), but the Matthews fund shop is well-regarded...this fund is if you want broader exposure to India.

(Source: Fool.com)

1 comment:

  1. Chindia i think it is the mixed new name of china+india.....well great...keep it up!
    Mini Index Forecasting

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