It’s been 6 months since my last update, and how the pendulum has swung. Just look at the headlines on Bloomberg in January. Contrast this to the headlines earlier this month. The pendulum has swung strongly to the other end of the spectrum. Back in January, I posted an article which I’ve reproduced here which captured my thoughts on Hong Kong developers. Many of my comments still remain valid. You can check out the original article here: Here’s a snippet of one of the key points raised:

Still, this says nothing about the short term price movements and if economic conditions worsened, the key to survival will be liquidity and solvency. Avoid companies with bloated balance sheets, and find ones that are trading at the biggest discounts to book value. There exists now an opportunity to buy prime district land at 60-70 cents on the dollar, a remarkable feat on ...

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