I can't move to China, but can I stash my money in Chinese investment? Where can I buy BYD and Xiaomi stock?
Yes, but be warned you might have to sell at any time. I had a big stake (relatively speaking) in the Chinese state owned chipmaker (SMIC) many years ago but the US made it illegal for residents to hold that stock so I had to sell.
No, they just confiscate your shares and make you unable to do anything with them. "You" don't actually buy the shares yourself, you buy through a broker, and that broker is sure as hell going to comply with US financial security laws.
https://finance.yahoo.com/quote/MCHI/
https://finance.yahoo.com/quote/FXI/
This is the right way to do it if you want to bet on China in general, rather than individual companies. These funds invest your money in a large number of Chinese companies, scaled by market cap of the companies.
Yes, I use MooMoo and have bought stocks for banks.
Do note, Chinese law requires you to buy multiples of 100 when buying stocks.
100 shares, 200 shares, 300 shares, etc.
I suggest buying stocks for banks, they are the most stable and "forget me" stocks.
Any stock exchange: https://finance.yahoo.com/quote/BYDDF/ https://finance.yahoo.com/quote/XIACF/
there is also a BYD ADR: https://finance.yahoo.com/quote/BYDDY/
I do not know the difference between the ADR and the other one. anyone who does, enlighten us
An ADR is buying a share of a foreign company from a US bank. You don't hold a "real" share where the company is actually listed, but a kind of surrogate on a local exchange.
Traders like ADRs because they have higher volume. Look at the daily volume of trades, there is more liquidity.
yeah but I think you might pay a big tax on capital gains from foreign stocks.
KLIP is a dividend ETF that has holdings in a bunch of China internet businesses
I’m not sure I would want to, I like to think China will prioritize the well being of its residents over the interests of foreign investors, which is a good thing but also makes me not want to be a foreign investor myself lol.
The Communist Part of China wants foreign investors. That is unlikely to change in the near future.
I'd say the more risky part is the US government forbidding its citizens from investing in China. Their are already a handful of companies that Biden has banned Americans from owning shares of.
You can through the Hong Kong Market. Chinese stocks are divided into A-shares and H-shares. There are also ADRs that trade on US exchanges. H-shares and ADRs are easily investable. A-shares are a bit harder to do, unless you have millions of dollars and go through an approval process.
This. You have to go in through Hong Kong then “up north” (北上) into Shenzhen and Shanghai exchanges.
IBKR is a good brokerage for that. You have to request approval or something to trade on the HK exchange but it's quite easy to do, takes a day or something to get approved.
Check out GEELY if you're into Chinese EV's, they're the fastest growing automaker in the world and have some really great car lines
https://www.fidelity.com/learning-center/investment-products/stocks/understanding-american-depositary-receipts
Short answer you buy them on the market like any stock, but they come with fees, paying foriegn tax, and subject to economic harassment by hostile US crap-it-all aka shorts and policies.
I own some NIO. It's not going well.
