In the Year 2020 China had made an unprecedented run to list a lot of its companies on the US Stock markets. China also listed its shares on the Hong Kong stock markets.

Most of these companies collected huge amount of money when they got listed on the US Stock Markets and these stocks were purchased by American Individual Investors like you and me.

When a company offers its shares at the Stock Market it is called Initial Public Offering (IPO)

As Chinese IPOs rushed in, American investors picked up billions of dollars of new equity to feast on the Dragon’s astonishing growth.

When Jack Ma’s Alibaba scooped up $25 billion in 2014. It was the biggest IPO in American history.

Thus Alibaba overnight joined the elite…

club of Facebook, Microsoft, Amazon, and Alphabet, as the five most-owned stocks by hedge funds.

In just the first 3 months of 2021, nearly $7 billion were raised, an eight fold increase over the previous year!

Then they fall 80% because the Chinese Govt put some kind of ban on their activities.

Not 1, not 2, not 3 but a lot of companies are doing this… some of them are:

• Didi, 
• Meituan 
• Chinese Ed-tech companies 
• TAL Education,
• New Oriental,
• Gaotu Techedu,
• Tencent’s 

Together they have wiped out more than US$100 billion from the US Investors!!!

The ONLY ADVICE is… NOT to invest in Chinese Companies… whether in US or Hong Kong!