This paper reveals that mutual fund companies in China engage in year-end rank-ing games by buying and/or selling stocks with large positions held by star funds ortheir rivals, while non-star funds contribute to roughly half of the buying and most ofthe selling. Consequently, the relative...

In contrast to most other countries, Chinese foreign class B shares trade at an average discount of about 60 percent to the prices at which domestic A shares trade. We argue that one reason for the large price discount of B shares is because foreign investors have less information on Chinese...