Which economies to invest in?

[mtj458]

I've been getting out of US stocks lately with plans to put more in metals and pacific stocks. I was wondering what countries everybody thinks have the best economies to invest in? I like Singapore and Hong Kong a lot, but I am skeptical of the rest of China. It seems like they have a much larger government involvement than America does yet I see libertarians often saying to invest there. Is this referring specifically to Hong Kong, which I know operates under a more free market than mainland China, or is all of China safe for investing?

What other countries are good? I've been thinking about New Zealand, Australia, and the BRICs.

 

[Objectivist]

Have you looked at India? And the Russians are drilling and mining globally.

 

[mtj458]

Yes, BRICs are Brazil, Russia, India, and China.

 

[Objectivist]

Yeah the Chinese left a good thing alone when they designated Hong Kong a special financial area.

 

[Dforkus]

I don't have very much confidence at all in Russia acting equitably when it comes to foreign involvement in their companies... Yes, they have resources, but they also have myriads of problems, and government meddling that makes even our most egregious missteps look well-managed in comparison...

TTM - is an Indian automotive play, a loser for me but I'm hanging on for the movement.. You could always just go with INP if you want to play india, probably the smarter thing to do..

EWZ - I shares Brazil, a brazil index. Brazil has a lot of good things going for it, but they flirt with embracing chavez style politics/economics on a semi regular basis.. On the whole, I'd say the rewards outweigh the potential risks, but they are there. If I had any money to invest right now, I might consider it.

PM - phillip morris international - is a domestically incorporated company that allows you to "play" foreign economies and currencies. Well run, with little debt, and a consistent 4-6% dividend, about as close to a "buy it and forget about it" play you can find these days..

 

[mtj458]

John Browne, from Peter Schiff's Euro Pacific Capital, wrote this in his article today. "Our trust is placed where the governments’ behavior justifies it: fast-developing countries, such as Brazil, India and China, as well as major natural-resource suppliers such as Canada, Australia, and New Zealand (collectively known as BIC-CAN)."

So his take is that these Asian countries are using stimulus and borrowing to grow their economy whereas America uses it to buy Asian products.

He also left Russia out from the BRIC countries.

 

[lodge939]

Wouldn't touch Russia with a ten foot barge pole with Putin in charge

 

[acptulsa]

Wouldn't touch China, either. Furthermore, I don't trust China to leave Hong Kong and Singapore alone.

Why aren't more Americans investing in the grassroots American economy? God knows there's plenty of potential there, and while they aren't trustworthy the government is far less likely to seize stuff wholesale than Russia's or China's, imo. And we need it--charity begins at home.

Tricky to find a safe investment there, I know, but where is there a safe investment these days?

 

[tmosley]

and while they aren't trustworthy the government is far less likely to seize stuff wholesale than Russia's or China's, imo.

lol, I'd think twice about that. Komrade Obama is already seizing whole sectors of the economy. So far, it's only about two sectors a year, but you can expect that it will speed up quite quickly.

Investing abroad is patriotic. It means that some Americans will still have money when this is all over with, and we can start rebuilding with some of that money that was invested abroad. Any investment in America is like moving new furniture into a burning building. Maybe they'll get the fire put out before if damages or destroys your new dinette set, but I wouldn't count on it. Better to rent it out and make some money, which you can use to rebuild your house once the fire is out.

 

[acptulsa]

Well, tmosley, damn it all, you might well be right.

 

[Pod]

Wouldn't touch China, either. Furthermore, I don't trust China to leave Hong Kong and Singapore alone.

And what is China going to do with Singapore?

 

[sevin]

I don't know anymore. Now I'm hearing rumors that the nikkei is going to crash soon.