A Warning To U.S. Investors In Chinese Stocks

News Snapshot:

GOCMEN Co-produced by Austin Rogers for High Yield Investor Some value investors in the US have been eyeing Chinese stocks as the performance divergence between US stocks (SPY) and Chinese stocks (MCHI, FXI) continues to widen. Data by YCharts One might think that all of China's current malaise is already priced in, or that it can't get any worse for the Chinese economy. Everyone already knows about the bursting of the property bubble, for example. Meanwhile, Chinese stocks certainly look undervalued. The P/E ratio for the Chinese stock index is about 11.5x, and its trailing twelve month dividend yield is...