Replies to post #664 on China Stocks

[Rames]

Update here:

http://www.fixyou.co.uk/tracker_risk.php

Sort the table by clicking on the "safety" column header.

Two things to consider:

1. http://china.fixyou.co.uk/2011/05/china-tracker-new-features.html (briefly explains the methodology)

2. This is a model and has absolutely nothing to do with proper OTG due diligence or expert digging into specific items of the respective filings. A stock like LFT would have scored nicely green with this model, but that doesn't devalue the model.

Assessing risks is always tricky. I like to compare this to credit risks for countries. The risks for Greece are now very high, much higher than for some African countries, like Botswana. That was very different a few years ago, but generally the risks for the average E.U. country are still much lower than those for the average sub-Saharan African country.