The Sarcasm Report v.113

July 15, 2011
The worst China mistake you can make

It's undoubtedly painful to have been an investor in any of the Chinese-listed companies that have been alleged to be or exposed as frauds over the past year.

Yeah, fraud does kind of suck. I'll give you that.

It's in the face of those losses that many Fools have asked me why we bother investing in individual Chinese companies at all.

I've got to admit that it does make me wonder. Glutton for punishment?

Spreading one's China-targeted investment dollars across enough companies so that no single blow-up can derail the entire investment approach should enable an investor to make money from China's growth (and some of the promising valuations available today) without having to fear that someone somewhere is lying about their books.

Isn't that the exact same rationalization that investors in the growing automobile and airline industries used? In hindsight, Warren Buffett said it would have been far better to short horses.

By all means keep trusting China. Just look at that stock market performance. It's only down 49% since the Chinese investors turned savvy. It's bound to make you a fortune someday.

And don't forget to get a Chinese nanny with all those fat profits!



That's one thing that never goes down. Chinese stocks. Yeah, I think I'm going to get a Chinese nanny just because I want, you know... I don't have kids yet but I want to reserve one. If I have kids in the future I just want to make sure I have a Chinese nanny.

Yeah, I know a lot of people are getting Chinese nannies so that their children can grow up and communicate with the business elite in China but I just think it would be better for their kung fu.

In all seriousness, I love that video. Calling his mom for stock advice? Trend line master? Chinese nannies? All of that content in just 2 minutes and 9 seconds? Genius! I'll do whatever it takes to boost his view count. He deserves better! :)