One must be wary of these queues of people lining up to buy new issues. Don't get me wrong, this euphoria could very well continue, and we may see new records for the Hang Seng before it is over. But I should point out that all the major sectors are overvalued at current levels. Certainly, I'd avoid property stocks. The banking sector is another one to stay away from.
Conglomerates are probably a better value than some other stocks.
It is really difficult to find cheap stocks in Hong Kong, but not impossible. Peregrine Investment is a Hong Kong investment bank with major exposure regionwide. As other regional markets start to do better, Peregrine should do well. All Rights Reserved. Terms under which this service is provided to you.