Recently, people have been asking me how to buy stocks in mainland China, so I’ve organized my experience to share with everyone.

Honestly, the recent policy favorable measures in China’s stock market have indeed attracted a lot of attention. The central bank cutting interest rates, relaxing home purchase conditions, allocating special funds to encourage companies to buy back shares and major shareholders to increase holdings—this combination has led to a long-awaited surge in the stock market. But there’s an interesting phenomenon: the biggest gains are not in A-shares, but in Chinese concept stocks listed in Hong Kong and the US.

Why is this happening? Mainly for three reasons. First, the capital liquidity in Hong Kong and the US is indeed higher, making it easier for foreign capital to flow in and out, so these stocks are more easily sought after by international investors. Second, overseas markets generally have more optimistic valuations of Chinese companies and more positive expectations for growth potential. Third, the regulation and information transparency in these markets are more mature, naturally boosting investor confidence.

So if you want to invest in mainland Chinese stocks, I recommend focusing on companies listed in Hong Kong and the US. For example, Tencent, which is the largest market cap company in China, operates in gaming, social media, advertising, and fintech, and holds substantial equity in many high-quality enterprises. Pinduoduo, Meituan, and Kuaishou are among its investment targets. As long as China’s economy continues to grow, Tencent will have opportunities.

Another example is Pinduoduo, founded in 2015 and listed in the US in 2018. It quickly captured market share in the e-commerce red sea with its innovative “cut-and-join” model. Its recent international version, Temu, has performed well, and it’s expected to break even soon. In the electric vehicle sector, BYD is also worth noting; it has become the second-largest EV manufacturer globally, with a strong supply chain management and gross profit margins comparable to Tesla.

If you don’t want to pick individual stocks, you can also consider ETFs or indices. KWEB, an ETF focused on Chinese tech giants, holds over 60% of its top ten holdings, including Alibaba, Tencent, Meituan, JD.com, Pinduoduo, and other tech leaders. FXI tracks the top 50 Chinese companies listed in A-shares, which is more stable but may not keep pace with tech stocks’ growth. The Hang Seng China 50 Index includes leading Chinese companies listed in Hong Kong, with more tech components compared to the A-share index.

Now, how to buy? The most straightforward way is to open an account in the respective market, but that’s more complicated. Taiwanese investors usually choose via a sub-broker, meaning they place orders through a local broker. The advantage is convenience; the disadvantage is high commission fees. Another option is trading through CFD platforms, which have lower trading costs and higher flexibility. But note that with CFDs, you don’t actually own the stocks—just profit from price movements.

Regarding trading details, A-shares have currency exchange limits, with one lot being 100 shares, a daily price limit of 10%, and trading hours from 9:30 am to 12 pm and 1 pm to 4 pm. Hong Kong stocks are much more relaxed—no daily price limits, trading in HKD, and no lot size restrictions, but be aware that lot sizes may vary by company. US stocks are even simpler—traded in USD, starting from one share, but you need to pay attention to market opening hours and minimum commission fees.

Ultimately, how to buy mainland Chinese stocks depends on your investment habits and capital size. Small investors might find sub-broker services not cost-effective, so consider overseas brokers or CFD platforms. Larger investments can consider opening direct accounts. Regardless of the method, the key is to understand what you’re investing in—don’t follow blindly, and proper risk management is the way to go.