Certainly, the Chinese market is showing promising rewards at the moment for companies who invest there. As ARC China with Adam Roseman shows, those who know the market well and have found their niche are reaping the benefits.
Harry Domash, part of the Guinness Atkinson China & Hong Kong Fund, offers some concrete thoughts on investing in the Chinese market that could help companies like ARC China and private investors as well.
Pay attention to Morningstar, says Mr. Domash, and let them rate funds for you. While their ratings aren’t perfect, they are certainly worth looking at.
Another suggestion he offers is to look at the history of each fund and the one-year and three-year trailing returns. He recommends paying the most attention to the three-year numbers, as they are better indicators of future performance.