Is it still a good time to invest in long-term (China) fund?

Have anyone heard Baring IUF Hong Kong China Fund? The funds about China or HK profits good last few years. Do you think it is still a good timeing to buy the fund? Thanks. :notworthy:

If you’re investing for the long-term, then there is no need to worry about market timing.

That was easy, huh?

Thanks.
But I just want to invest in One-time investment way.
Is it still good in long term ?

[quote=“wisher”]Thanks.
But I just want to invest in One-time investment way.
Is it still good in long term ?[/quote]
Yes.

Thanks.

Great advice. :loco:

If I made a major investment in 2000 just before the bubble burst, I’d be lucky to make a return on my investment today, 7 years after. 7 years is pretty LT for most people.

[quote=“elburro”]Great advice. :loco:

If I made a major investment in 2000 just before the bubble burst, I’d be lucky to make a return on my investment today, 7 years after. 7 years is pretty LT for most people.[/quote]
Well, no risk no fun - and nobody knows when the bubble bursts again or when is the best time to invest / not invest. If you knew you could become filthy rich very quickly.

Anyhow, I would only invest a small amount in markets like China, and obviously only as much as you can afford to loose. If you invest really long term (>15 years) then I see not much of an issue about investing now, especially if you take off some gains every now and then.
Sure, you could take a wait and see approach, but you may wait for years before the bubble forms & bursts and the time is right to go in.

The decision is of course for everyone him/herself to make.

My gf invested in some goofy China fund that’s now shut to further investment by Taiwanese. Last she checked, a couple of does ago, it was up 57%.

[quote=“elburro”]Great advice. :loco:

If I made a major investment in 2000 just before the bubble burst, I’d be lucky to make a return on my investment today, 7 years after. 7 years is pretty LT for most people.[/quote]

That depends on what you invested in.

If you want to lower your risks long term, use dollar cost averaging to invest. Using this method you figure out a set amount to invest (say US$500 a month) and then put in exactly that much each month, month after month. This way you will automatically buy fewer shares when the market is high and more shares when the market is low, all without having to figure out when to buy. To do this though, you need to do it via some sort of no-load, no-fee fund or else you’ll get clobbered by fees, or do it on an annual or semi-annual schedule instead of monthly.

Thats probably the only technical system of trading that works well

[quote=“Rascal”][quote=“elburro”]Great advice. :loco:

If I made a major investment in 2000 just before the bubble burst, I’d be lucky to make a return on my investment today, 7 years after. 7 years is pretty LT for most people.[/quote]
Well, no risk no fun - and nobody knows when the bubble bursts again or when is the best time to invest / not invest. If you knew you could become filthy rich very quickly.

Anyhow, I would only invest a small amount in markets like China, and obviously only as much as you can afford to loose. If you invest really long term (>15 years) then I see not much of an issue about investing now, especially if you take off some gains every now and then.
Sure, you could take a wait and see approach, but you may wait for years before the bubble forms & bursts and the time is right to go in.

The decision is of course for everyone him/herself to make.[/quote]

Would you set up the limit when you invest in those funds about emerging courties?

It’s all about risk and reward. And China certainly has big risks and big rewards. Going into a Chinese brokerage is like walking into a betting parlor. That 9% drop in one day of the Shanghai market that happened a few weeks ago was a signal that this is not a market for those with risk of heart attacks.

There are other undervalued markets in Asia (like Thailand) that I’d rather invest in these days.

Well US markets have dropped more than 9% on a single day before haven’t they?

What do you mean by ‘set up the limit’ - you mean setting a stop-loss limit or … ?

I invested in the Fidelity China Focus Fund (ISIN: LU0173614495) in April last year, even then some people were already saying the bubble is going to burst. It went through the crash in May/June of last year and the correction in February, and yet is up 44% now. But as it has been said - emerging markets are a risky investment, so don’t get greedy and invest all your money in there, instead diversify your portfolio.

(The above is not a recommendation btw, just to give an idea how such funds can develop. There is no guarantee though that it will continue to gain at the same rate or that it doesn’t drop in value at some point in time.)

What do you mean by ‘set up the limit’ - you mean setting a stop-loss limit or … ?
I invested in the Fidelity China Focus Fund (ISIN: LU0173614495) in April last year, even then some people were already saying the bubble is going to burst. It went through the crash in May/June of last year and the correction in February, and yet is up 44% now. But as it has been said - emerging markets are a risky investment, so don’t get greedy and invest all your money in there, instead diversify your portfolio.

(The above is not a recommendation btw, just to give an idea how such funds can develop. There is no guarantee though that it will continue to gain at the same rate or that it doesn’t drop in value at some point in time.)
[/quote]
Yes,I mean “stop-loss limit”.
I heard China will take macro-control again .
And the new funds in China almost have finished the goal within a few hours.
Will it be more risky?It seems the market is a bit crazy hot?

Yes. Twice in history. In 1914 and in 1987.

The largest one-day percentage drop in the history of the Dow occurred on December 12, 1914, 24.39%, after a multi-month NYSE hiatus brought on by World War I.
Then on “Black Monday”, October 19, 1987, the average fell 22.61%.

But markets have stabilized a lot after that, and the only drop that comes close to the Shanghai drop, is the day after 911, when the Dow fell 684.81 points, or 7.1%.

So 911 caused a smaller drop for the US markets than the rumors of government intervention in China. See the problem? :s