The contrast between China’s three biggest financial markets is grim.
The CSI 300 Index, which tracks the biggest stocks listed in Shanghai and Shenzhen, is headed for a third straight year of losses with a decline of 14 per cent, the worst run since its inception in 2005. The 82-member Hang Seng Index in Hong Kong has lost 15 per cent, and is set for an unprecedented four-year losing streak. In all, more than US$1.2 trillion has been lost in the three exchanges this year.
“Some investors will shift their focus to the Beijing exchange after the impressive rally, which is rarely seen in recent months,” said Dai Ming, a fund manager at Huichen Asset Management in Shanghai. “There are opportunities to make some big bucks for investors who have been severely burned on the main board this year.”
Beijing’s stock exchange is a new kid on the block in China’s three decades-old markets, and was once shunned for its illiquid and…
