Chinese Family Firms: The Good, The Bad And The Ugly

The November 17 opening of the Shanghai-Hong Kong Stock Connect likely has some foreign investors eagerly looking forward to getting access, for the first time ever, to A-share listed Chinese firms on the Chinese stock market. But a word of caution: China’s stock market is still immature by international standards. Though regulators are slowly implementing reforms, the market is still largely driven by speculation and insider trading, so it can be a risky play for a foreign investor who’s unfamiliar with the terrain. For those interested in learning more about Chinese listed firms, one group you absolutely must become familiar with is family firms. Their unique characteristics can, in many cases, provide investors with many clues about their potential risks and earning power. Read more on Forbes.com