January, 2011 (Chinavestor) What a difference a year makes! China stock investors were bullish at the beginning of 2010, hoping the 80% gain for the Shanghai Composite Index (SHA:000001) in 2009 was to slow down a bit—yet reality proved to be different. Not only did the mainland’s most liquid index slow down but actually fell hard in the first six months of the year, a complete opposite of what investors had hoped for. Despite some gains, the Shanghai Composite Index (SHA:000001) ended 2010 deep in the red, with a 14.3% decline for the 12 months. This makes it one of the worst performers of major markets around the world.
Key stocks mentioned in this Newsletter include China Life Insurance (NYSE:LFC), HSBC Plc. (NYSE:HBC), E-House Holdings (NYSE:EJ), and Xinyuan Real Estate (NYSE:XIN) in the first part of the report. The second, stock specific part highlights China Housing & Land Development, Inc. sphere and Baidu.com Inc. (NASDAQ:BIDU) Sina Corp. (NASDAQ:SINA), Sohu.com Inc. (NASDAQ:SOHU), NetEase.com (NASDAQ:NTES), SouFun Holdings (NASDAQ:SFUN), and Shanda Games (NASDAQ:GAME) from internet and related sectors. China Mobile (NYSE:CHL) and China Telecom (NYSE:CHA) are stocks from the telecom sector in the Newsletter. (NASDAQ:CHLN) from the real estate