China's Financial Markets: An Insider's Guide to How the Markets Work [Hardcover]

Salih N. Neftci (Editor), Michelle Yuan Menager-Xu (Editor)

Book Description

ISBN-10: 0120885808 | ISBN-13: 978-0120885800 | Publication Date: December 5, 2006 | Edition: 1

China's financial markets represent about $2 trillion and are expected to grow to about $10 trillion by 2008. As these markets continue to open to outside investment, a thorough understanding of how they operate will be essential for success. In this book, Salih Neftci, an expert in finance whose teaching and research span North America, Europe and Asia, and Michelle Menager-Xu, a Chinese finance professional currently working in Geneva, bring together an unprecedented collection of Chinese insiders who are experts in their respective industries. These experts provide a detailed description of the banking system, the money, equity, futures, FX, and bond markets, the insurance sector, the mortgage market and mortgage instruments, and the regulators. Readers will learn how each of these financial sectors operates, how the government, regulators, and the central bank are involved, each sector's history, size and projected growth, an analysis of its current situation and discussion of future trends, the major players, and how the game is played. This is a must-read book for financial success in this emerging market.

*Experts within China working in each sector provide detailed, completely up-to-date descriptions and analysis
*CDROM contains English translations of relevant Chinese regulations not available elsewhere
*Describes how the major regulators work and the key influence factors in each industry

Editorial Reviews

Review

"This timely and comprehensive book is certain to become an essential reference tool for anyone interested in the development of financial markets in China. Its broad and up to date coverage makes it particularly valuable for understanding the rapidly evolving nature of the financial system on the Mainland."
--Hans Genberg, Director, Hong Kong Institute for Monetary Research

"This book is destined to be a standard reference for anyone interested in China's financial markets."
--Herbie Skeete, Managing Director, Mondo Visione Ltd, Publishers of the Handbook of World Stock, Derivative & Commodity Exchanges

Book Description

The first insider's guide to China’s financial markets

See all Editorial Reviews

Product Details

• Hardcover: 416 pages
• Publisher: Academic Press; 1 edition (December 5, 2006)
• Language: English
• ISBN-10: 0120885808
• ISBN-13: 978-0120885800
• Product Dimensions: 9.1 x 6 x 1.5 inches
• Shipping Weight: 1.8 pounds (View shipping rates and policies)
• Average Customer Review: 5.0 out of 5 stars  See all reviews (4 customer reviews)
• Amazon Best Sellers Rank: #1,241,094 in Books (See Top 100 in Books)

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Customer Reviews

Most Helpful Customer Reviews

3 of 3 people found the following review helpful:

5.0 out of 5 stars Excellent and exciting reading. Delta = opportunity, April 16, 2007

By 

Bachelier ""1004"" (Ile de France) - See all my reviews

This review is from: China's Financial Markets: An Insider's Guide to How the Markets Work (Hardcover)

What is famous professor of Financial Engineering Salih N. Neftci doing writing about China's financial markets? What could this possibly have to do with his excellent work demonstrating equivalent cash flows and creating synthetic instruments?

Well "omnia et nihilos" (everything and nothing). Neftci's welcome clarity is once again evident here (this time with an edditor's hand), and his efficiency in breaking down topics into digestible bites is also very much in evidence. But Neftci must have picked up his interest in China's growing financial markets from the (now a whole generation) of the excellent Chinese students he has trained. Undoubtedly his students are well placed on Wall Street, China, and globally and this book will bridge their financial engineering skills with this essential study of this important emerging market's microstructure.

This is an excellent reference tool for those interested in the development of financial markets in China and would make a wonderful gift from CLSA for those who attend its annual Shanghai-Hong Kong two-week conference on Asian investments. The CLSA conference is justifiably famous for having the best speakers, firms, institutional investors, and discussions.

Hong Kong-based shareholder activist David Webb has long pointed to the dangers of minority shareholding and security holding in the Hong Kong market (and Taiwan). In Neftci's "China's Financial Markets: An Insider's Guide to How the Markets Work" Webb's concerns are amplified for the mainland China markets as well.

The Shanghai and other mainland Chinese markets are rapidly evolving, and such concepts as a limited liability non-natural person owner (a corporation), the ability to short stock (possible for floor traders, not possible for investors), and the repatriazation of profits are among the challenges that need to be faced as Chinese regulators and a global investor class seek to deploy capital efficiently. The contributions of expert Chinese insiders provide descriptions of the banking system, the mortgage, money, equity, futures, FX, and bond markets, and the all-important capital formation arms of the insurance sector. The baffling roles of government, regulators, and the now globally-powerful Chinese central bank are also covered.

Size alone won't cure poor regulatory environment or respect for property rights and repatriazation of profits. Nevertheless China's financial markets currently represent about $3 trillion and are expected to grow to "about $10 trillion by 2008." In ths face of such rapid change (delta = opportunity) it is no wonder that the master of the greeks Salih Neftci wrote this wonderful book. An excellent thoughtful work that provided first-class information and could easily have been double the size.

1 of 1 people found the following review helpful:

5.0 out of 5 stars Good book on the basics, May 10, 2007

By 

Dale L. Jennings (Phoenix, AZ 85014) - See all my reviews
(REAL NAME)   

This review is from: China's Financial Markets: An Insider's Guide to How the Markets Work (Hardcover)

I very much enjoyed this book discussing China's financial markets. There are very few books available in English which cover this information. This book does not have the same political commentary as Bloomberg Press' China's Stockmarket.

I'd love to have more detail in each chapter, but this book is designed to provide a general overview of various financial markets in the People's Republic of China and contrasts China's markets with US and European markets.

The language in the book isn't very technical and anyone with a basic knowledge of the markets should be able to understand.

2 of 3 people found the following review helpful:

5.0 out of 5 stars inside on china financial market, February 22, 2007

By 

Ming Zhong (NJ USA) - See all my reviews
(REAL NAME)   

This review is from: China's Financial Markets: An Insider's Guide to How the Markets Work (Hardcover)

This book has great details on current status, issues on china finanial markets include equity, fixed income, mortgage. most important , it discusses the future trends with deep inside.
I also like Neftci's book "principal of financial engineer" with precise description on important conception.