Investor Glossary-red chipInvestor Glossary-red chipInvestor Glossary-red chipInvestor Glossary-red chipInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Red Chip

The HTML to link to this page
 

A red chip is stock of a company incorporated and traded on the Hong Kong Stock Exchange and controlled by mainland Chinese shareholders. Companies with red chip stocks are headquartered in Hong Kong and are sometimes managed by executives from Western countries. The concept of a red chip stock began in the early 1990's. After the improvement in the Chinese economy and easing of interest rates, red chip stocks began to benefit from the ensuing growth. Red chip stocks are conglomerate-like stocks of companies holding numerous assets of provincial or city governments in China. For example, the red chip stock company, Shanhai Industrial, has holdings in over 100 companies in Shanghai. Guangdong Investment, another red chip stock company, manages the commercial endeavors of one of China's wealthiest provincial governments.



Rate this red chip definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: inflation, EBITDA, average price per share, current ratio, FTSE, 1035 exchange, LIBOR, annual return, deferred revenue, option premium, 401a, command economy, open position, real GDP, implied volatility, in escrow, quality assurance, cancelled check, dividends payable, covered put, stock split, 1031 exchange, class C shares, required rate of return, ex-dividend, limit order, risk management, Zero Cost Collar, reverse mortgage, minority interest, VIX, deferred tax, Key Rate Duration, margin rate, wholly-owned subsidiary, APR, 144a, diluted share, stock market close, FICO score, ex-dividend date, phantom income, per diem, debt service coverage, balance sheet, retained earnings, irrevocable trust, labor relations, liquidity ratio


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Investor Glossary | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use