ETFs: The Road To China

Burton Malkiel, author of A Random Walk Down Wall Street and a Princeton University economist, sees China as a great investment opportunity. He says investors are getting a bargain for "the most undervalued currency in the world."

Malkiel suggests exchange-traded funds that focus on Chinese companies trading in Hong Kong and New York. He also recommends ETFs holding shares of companies in countries that are China's major trading partners. Malkiel's strategy is to combine the SPDR S&P China ETF with the Vanguard Pacific ETF.

You can read more about his thinking in the new book, From Wall Street to the Great Wall: How Investors Can Profit From China's Booming Economy which comes out this December, published by W.W. Norton.

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