Chinese Bank Stock
China Merchants Bank Co Ltd symbol: CIHHF (OTC). This is the best run commercial bank in China. It operates through a network of approximately 400 branches in approximately 30 cities. China Merchants Bank was founded in 1987 and is headquartered in Shenzhen, the People’s Republic of China. For the first quarter of 2008 they reported an increase in net profit of 140%!! The company said the results were mainly driven by loan growth and higher interest spread, accelerating growth in noninterest income, lower credit costs and an effective income tax rate. The simple act of borrowing money is a fairly new idea in China and credit card usage is still in its early stages as most Chinese still pay for everything in cash. China Merchants Bank has grown its credit business rapidly through innovative marketing such as a Hello Kitty fan card. Growth in this area will continue at astonishing levels as China develops a middle class way of life for it huge population. Also late last year they got the okay to open a branch in New York which might just open the door for further US expansion.
Now may be a good time to pick up some shares as many investors are looking to start buying financial stocks and this stock has been cut in half like other banks for no reason other than being in the same sector. If you have an international trading account, such as E-Trade you could pick up the companies stocks under the number 3968 on the Hong Kong exchange. If not the only way to pick some up is through the OTC market, otherwise known as pink sheets, under the symbol CIHHF. If you have any questions or comments about this latest China stock pick send me an email. Full disclosure: I am currently trading 3968 H-Shares.
Easy Money Management’s editorial goal is to provide a forum for personal finance and investment ideas. My blogs and other features should not be construed as investment advice. An investor's best course of action must be based on individual circumstances.
China Merchants Bank Co Ltd symbol: CIHHF (OTC). This is the best run commercial bank in China. It operates through a network of approximately 400 branches in approximately 30 cities. China Merchants Bank was founded in 1987 and is headquartered in Shenzhen, the People’s Republic of China. For the first quarter of 2008 they reported an increase in net profit of 140%!! The company said the results were mainly driven by loan growth and higher interest spread, accelerating growth in noninterest income, lower credit costs and an effective income tax rate. The simple act of borrowing money is a fairly new idea in China and credit card usage is still in its early stages as most Chinese still pay for everything in cash. China Merchants Bank has grown its credit business rapidly through innovative marketing such as a Hello Kitty fan card. Growth in this area will continue at astonishing levels as China develops a middle class way of life for it huge population. Also late last year they got the okay to open a branch in New York which might just open the door for further US expansion.
Now may be a good time to pick up some shares as many investors are looking to start buying financial stocks and this stock has been cut in half like other banks for no reason other than being in the same sector. If you have an international trading account, such as E-Trade you could pick up the companies stocks under the number 3968 on the Hong Kong exchange. If not the only way to pick some up is through the OTC market, otherwise known as pink sheets, under the symbol CIHHF. If you have any questions or comments about this latest China stock pick send me an email. Full disclosure: I am currently trading 3968 H-Shares.
Easy Money Management’s editorial goal is to provide a forum for personal finance and investment ideas. My blogs and other features should not be construed as investment advice. An investor's best course of action must be based on individual circumstances.
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