Many of you will have heard about my reluctance of investing in S-chips. Thus, my investment into Hong Kong Listed Firms will most probably have shocked you, since many of the Hong Kong Listed Firms are located or have affiliations in China.
Do read this post to understand the initial reasons I invest in US and Hong Kong counters.
In addition to the reasons in the post, another factor is my work. My current work requires me to understand the culture of China companies and the China companies financial. Through the process of learning, I understand why there are so many scandals with regards to Listed China Firms (such as those in Hongkong and Singapore).
One of the reasons is the China invoicing/receipt system. Every invoice is tracked by the government centralized system, so that it can track back and tally with the company's tax submission.
To get around this ......