“What about buying Alibaba stock?’’ asked my friend.

Now Alibaba is the online Amazon, Google and eBay of China all rolled into one.

The stock started trading at $163 US six years ago and was on track for its $310 high a year ago.

“No way,” I replied, “Investing in China is too uncertain, too risky. They don’t observe commercial law like we do in North America. 

“Commercial law and the right so sue is on paper only and the courts are stacked against foreigners.”

Then I explained my experiences with investments in Chinese stocks.

The first was over 20 years ago when a small company listed on the old Vancouver Stock Exchange showed awesome potential.

The company, whose name I have forgotten, traded at six cents and had raised the money to build a poultry medicine factory and service the gazillions of chicken flocks in Communist China.

It was a no-brainer. Some of my friends bought in too. We watched the price climb to 10 cents for a paper gain of 66 per cent.

Then there was hardly any trades and some months later the exchange delisted the stock for failing to file financial statements.

Our investment was dead. The company had fled the coop with it.

Once bitten, twice shy.  Not me.

Greed got the better a few years later when I suggested our investment club buy into Noble China. Noble China had raised money to build two breweries in China in partnership with Chinese municipalities.

There was a lip smacking potential for a string of…

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