The new growth opportunity: shorting Chinese stocks

Having demolished Sino-Forest, Muddy Waters has gone after another Chinese company alleging the same thing: misleading financial statements, fraud, etc. The stock dropped 30% but has since rebounded and is now down only 1%. The Bank of New York is one of the company’s investors, and I’d feel safe betting against them. In fact, to paraphrase Mencken, nobody ever went broke underestimating Chinese perfidy.

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2 Responses to The new growth opportunity: shorting Chinese stocks

  1. FlyAngler

    I think the operative term is “target rich environment”.

  2. anon

    u should speak to a BIDU short.