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


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