By Hugo Pan
2021 was a monumental year for Chinese stocks trading in the U.S., in ways both good and bad. On the one hand, Chinese companies set a record for number of IPOs in the U.S. On the other hand, challenges in those IPO processes and regulatory conditions led to a large sell-off in China and Hong Kong indices and to some of these stocks setting multi-year lows. As we enter 2022, is there a reason to expect a change?
Chinese Stocks Transformed from Gimmicks to Value Investments
The so-called “China Concept Stocks” is a collective term for all Chinese stocks listed overseas.
In the 1990s, Chinese companies began to experiment listing in the United States. Shanghai Petrochemical (NYSE:) (Sinopec) became the first Chinese state-owned enterprise to be officially listed and traded on the NYSE as a pilot company, in July 1993.
Over the last 20 years of China’s…