Chinese stock market explained in new book

Decoding China's Stock Market took the limelight during the recently concluded BookExpo America in New York, where China was, for its first time, the guest of honor country. The new book has been among the top 10 best sellers in Beijing's major bookshops since it was released on May 26. According to the book's author, Dong Shaopeng, executive deputy-editor-in-chief of Securities Daily, the book will join the Frankfurt Book Fair in October. Writing briskly but commenting objectively on the nation's recent bullish market, Dong's book, published by the nation's top publisher, the People's Publishing House, unveiled the development paths of the country's stock market and the advantages and shortcomings of China's economic system. Dong said he feels that the country's stock market is not only an economic development barometer, but also a barometer of the reform and adjustment in China.

This bullish market gained momentum from July last year, when a total of 190 reform measures were announced, he said. "Currently, China's stock market is a reform-driven bullish one, and I project it will last for three years," Dong said and added his predictions were based on research since the early 1990s. With seven chapters and 250,000 words, the book covers in-depth research on the country's governance, economic models, reform targets, traditional and modern Chinese cultures, stock market features and compares China's and the US stock markets and investment strategies. Harvey Dzodin, a senior adviser to Tsinghua University and former director and vice-president of ABC Television in New York, said, "I see this book as required reading for any foreigner investing in China. I only worry that many will skip the first six chapters and go straight to the chapter entitled The ‘Tao' and art of Chinese stock market with its practical advice about how to make key investment decisions. If they do skip ahead, they will be selling themselves short, and not availing themselves of the precious wisdom Dong has accumulated since the early 1990s," he said.