Main reference: Story in First Financial
SINGAPORE-BASED INVESTOR Jim Rogers, famous for his ultra pessimistic outlook on the US dollar, says now is not the time to invest in Chinese shares or property.
Instead he’s waiting for the "collapse” of the A-share markets before jumping in.
The American investor, who has called Singapore home since 2007 and is best known for co-founding the Quantum Fund with George Soros, recently spoke at a China-themed investment conference.
He said he was still sitting on the sidelines China’s A-share markets as he felt there was more air to be let out of the balloon before he would jump in in earnest.
The high-profile investor also said he was continuing to calmly watch for opportunities in the PRC property market.
“Everyone wants to know which investment portfolio can protect their savings while also providing income into the future,” he said.
As for China’s A-shares listed in Shanghai and Shenzhen, Rogers said he was continuing to keep a close eye on opportunities but that so far he wasn’t keen on buying until "after a continued decline and collapse” of the equities market.
The US investor said that when signs of this began to appear, he would start looking for bargains and high growth potential counters and then turn them over to his two daughters for safekeeping.
His 2009 book A Gift To My Children explained why he planned to use his daughters to oversee his investments and also contains valuable investing tips and strategies for would-be shareholders.
Two years ago Rogers send shockwaves through the global investment community during a speech at Oxford – his alma mater – during the height of the financial crisis.
He encouraged students at the iconic British university to give up dreams of building their careers on Wall Street or Fleet Street and instead to groom themselves for jobs in mining and agriculture.
“The power is shifting again from the financial centers to the producers of real goods. The place to be is in commodities, raw materials, natural resources,” he said at the time.
Indeed, one only need look to the tremendous wealth that Australia has generated over the past decade, fueled in large part by insatiable demand for iron ore, copper and a whole range of foodstuffs from Mainland China.
Last year, the Baltimore-born investor announced that he had established The Rogers Global Resources Equity Index which officially aims to "focus on the top companies in agriculture, mining, metals and energy sectors as well as those in the alternative energy space including solar, wind and hydro.“
“Over the next 20 to 30 years, I think it would be wise to buy some farms or paddies in China as in the country’s future, agriculture will be an even more critical and promising sector.
“We can also clearly see from Beijing’s helping hand that official policy is very supportive of the further development of agriculture in Mainland China,” Rogers said.
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