There have recently been some ugly headlines out of China, including a brutal slide in auto sales for Toyota (NYSE:TM), Mazda and other Japanese car companies. You can blame that on the politics of an island dispute, but the continued contraction in China manufacturing can’t be so easily explained away.
So what’s the story here? Is China really having a hard landing, or is there still opportunity for investors?
InvestorPlace.com contributor Jim Woods weighs in on the opportunities and risks as the China growth story slows down. The bottom line: There are ways to buy the growth without all the risk of pure-play China stocks.
Other great ways to buy China is through neighboring markets with big business ties to mainland China — including the iShares MSCI Singapore Index Fund ETF (NYSEARCA:EWS), iShares MSCI Taiwan Index Fund ETF (NYSEARCA:EWT),or the iShares MSCI Hong Kong Index Fund ETF (NYSEARCA:EWH) as an alternative to China stocks.
Take a listen by clicking on the module above, or visit The Slant‘s podcast greatness via the iTunes Store.
- When even state researchers warn the slowdown will be longer than expected, you know your’e in trouble. (Bloomberg)
- Jim Rogers didn’t like China before, but now? “I only buy China when it collapses.” (CNBC via Yahoo! Finance)
- On the other hand… Hong Kong is at a five-month high. So much for a hard landing. (Shanghaiist)
Jeff Reeves is the editor of InvestorPlace.com and the author of “The Frugal Investor’s Guide to Finding Great Stocks.” Write him at firstname.lastname@example.org or follow him on Twitter via @JeffReevesIP. As of this writing, he did not own a position in any of the stocks named here.