WATCH BEFORE INVESTING IN CHINA! ALIBABA, BAIDU, AND TENCENT STOCK! $BABA $BIDU $TCEHY

As many of you know I believe that the Risk/Reward is high in Chinese stocks today. That makes buying shares in Alibaba $BABA , Baidu $BIDU , and Tencent $TCEHY seem very attractive at these low prices.

I have done videos on BABA and BIDU and my full stock analysis on them both which you can see with the links below:

Alibaba Stock Analysis

Doubling Down On $BABA

Baidu Stock Analysis

That Said I do think it is very important to point out the risks and to be ready to add more shares or take a loss as the situation unfolds depending on what developments we get.

I made this video to breakdown the 5 things that I think are most important when investing in Chinese companies.
1) Understand the Risks involved
2) Have a set allocation and follow it
3) Have a long time horizon
4) Bet on the best of the best
5) When and Why to Cut your losses.

I hope this video adds some value and as always make sure to do your own due diligence before making any investments because we at FFMResearch are not financial advisors.

[charalambosmichael]

This was packed with good advice. Glad you are getting rational investing ideas out.

[crepeitup]

what's wrong getting a fair affordable education? What's wrong with crack down on antitrust and privacy?

[mattzolly]

Isn't the PE ratio of Baidu closer to 7 ? Seems healthier than 19 in Alibaba, no?

[lowyeeliang]

Other than the big three? how about JD?? with JD health & Logistic.

[LL-wcwn]

Rules to follow when investing in China:

Discount the stock price by 98% relative to USA companies to account for the ccp risks

[leometa]

Compared to now there were virtually no regulations before Jack Ma made the stupid remarks in front of an audience. Stupid because he should have known that this was a delicate issue and that there were party informants in the audience and he should have known that Xi Jinping has no scruples about destroying him and Alibaba when it comes to keep his grip on power. By appointing himself as president for life already shows what kind of person Xi is. Jack Ma must have been driven by hybris, why else would he criticize the CCP that allowed him to become a multi billionaire in the first place. They want to humiliate him, dismantle his reputation and let him feel how it is to lose a big chunk of his wealth, which depends on BABA stock price. He can be happy that he has not been jailed on some phony charges like other billionaire’s bevor him. The EV sector should not be affected because this is th love child of the CCP.

[Atemi]

Good video, but I highly disagree with "high risk" on Big Chinese Companies. That you know the risks it makes them less risky not more all the companies or let say all the investments have risks known and unknown, unknown risks are much more dangerouse and I truely believe you shiuod make a bigger bets on investements that risks are known and you keep very, very close eye on them.

[alexthach]

Personally, I think Baidu beats out Tencent, I feel like in terms of "upcoming regulations" Tencent will be affected the most due to the gaming situation. Baidu is focusing on non-advertising revenue which I think puts it in a spot to take on more growth! Still haven't bought a position in Baidu yet... I feel a little bit more of a drop to $120.

[josephk]

One mistake you make. The CCP want now BABA, BIDU and other companies to share profit with the people of China basically, making BABA a non profit company. Also where is Jack Ma ? why is hiding ? Very good company to buy merchants but it not to buy its share. This is a non investable asset or Toxoid asset. Remember what happen to EDU companies it may happen to BABA also. PE and revenue is not count in Chines companies but what the CPP want to do with them (BIDU PE is 8 will you buy it?). Very bad investment but good option trad.

[tradertan]

Wondering how big is your portfolio? haha