Are retail investors' fear of Chinese stocks justifiable?

I think many investors who bought listed Chinese stocks do not even know what they had bought. Many chinese stocks listed in US were through a structure called VIEs. To put in strict term, you are not even considered a shareholder of the company as it does not grant you any form of direct voting rights. You are just participating in the share performance.

Chinese government restricts direct foreign investments in sectors such as Internet and online companies, so the only way for them to get listing is through some structure by establishing hq in Cayman islands. Investors' memory was just as short as the goldfish, that we have forgotten our experience with CLOB shares. Moreover, with the current chinese administration, they literally can do anything to a Chinese company, including nationalisation.

I am definitely not a fan of Chinese stocks as I have first hand experiences on how many listed s -chips have swindled Singaporean hard earned money.

It is mind boggling that many investors able to invest in chinese listed entities using fundamental metrics when these companies were not subject to the same standard of auditing like what other US companies do. Maybe investors nowadays have bionic eyes which can let them see through their opaque accounts.

Investing in Chinese companies simply come with too much risks. Opt me out for sure.

Yes, there are some peculiar risks: 'communist' regime (or is it?), currency risk, fraud risk, political risk among others

as to fraud and single stocks;

better buy China ETFs.

there are already plenty (MCHI, PGJ, the beautiful ones of KraneShares and those listed on Hong Kong stock exchange)​​​