China Stocks with Jim Trippon
5/12/2009
- According to Jim Trippon, Editor-in-Chief of China Stock Digest, this week's sale of Hummer to a Chinese automaker is likely to become a pattern: China is highly motivated to improve its automotive sector, and USA assets are on the block. In our Feb 2009 interview with Jim, he talks about the role of Hong Kong, business culture in China, and the importance of making "an emotional investment" in business.
In addition to being the CEO of China Stock Digest, the largest equity investment research firm in mainland China, Jim also serves as its editor-in-chief. He started his career as a forensic accountant for Price Waterhouse, and then decided to start his own firm. The China Stock Digest manages investment portfolios for some of the wealthiest families in the US, and many are Asian or have Asian ancestry. When Jim started looking for investment opportunities in China he discovered that there was no reliable source of investment information coming out of mainland China. Now, thanks in part to Jim and the China Stock Digest, there is reliable information available. During the interview, Jim talks about the challenges of doing business in China and the need of good relationships. Relationships are the key to doing anything, especially business. He also talks about the fact that China owns almost $2 trillion of US reserve, that hard-work and save money mentality of the Chinese people has allowed them to gather liquid assets, and his estimate that interest rates in the US will increase dramatically in the next several years. This is because recently, China has been buying US bonds and treasuries, allowing the US government to keep artificially low interest rates. But now that we have an integrated, global economic recession, the government must make the bonds more desirable, meaning higher interest rates. Jim also expresses his displeasure with mainstream media and the inaccurate portrayal of China and China business. The news reports on the awful living conditions or terrible pollution, but China is going through an industrial revolution. Polluting factories are less common in Europe and the US because those industries have moved to places like China. Live questions include asset securitization (converting illiquid assets into investment products), the value of stock, and how China is changing. For entrepreneurs looking to get into the Chinese market, Jim cautions not to expect to complete your business in two days. Take the time to develop relationships and he expects the opportunities would be greater than what is available in the western world. To find out more about Jim Trippon or the China Stock Digest, find him online at
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About Jim Trippon
Jim Trippon runs the largest equity investment research firm in Mainland China. Trippon, recognized by Dow Jones' Hulbert Financial Digest as America's foremost expert on China's stock market, is the Editor-in-Chief of China Stock Digest. Trippon has served as an on-air stock market expert for CNBC, Fox Business, Fox News, CNN International and Peoples Radio International. He is regularly quoted in Bloomberg, Investors Business Daily, Stock Futures and Options Magazine and other major publications.