China Tech Stocks: Time to Buy or Sell?
If you are one of the investors investing in the CHN/HKG tech sector, I am sure you would have felt the pinch as the index (iShares Hang Seng TECH ETF (3067.HK) is down by -37% from the all-time high of $22.98 to $14.40 as of writing this article and it was down by -44% at one point. The prospect of these China tech stocks will be challenging, and I don’t think we should expect any immediate rebound from this sector and is going to be volatile since the crackdown from the regulatory on “ anti-monopoly” (Baba/Tencent) to “data security “(Didi) and the recent “education” (TAL/ New Oriental) . We have seen the share price plunged by more than 30-50% and some education stocks almost wipe out with dropping of more -90%. As usual, we will see two different points of view with regards to this tech crackdown and correction, some said it is just a temporary trend and the regulatory is just trying to target some / certain sub-sectors within the tech sector and enact some control or tighte