Interesting event going on with Chinese consumer lender

There has been a lot of selling pressure on Chinese consumer lending stocks. The reason is that Chinese government will tighten regulation on bureaucracy on the sector.

Here is couple example and my rationale why I think there is good possibility for bounce back

QD: Down like 50% or more. Still stellar results

qd1 Interesting event going on with Chinese consumer lender

 

YRD: Down 20% or so. Also good results.

yrd1 Interesting event going on with Chinese consumer lender

 

There will be effect of regulation but companies like these which are quite large and even listed to NYSE will have expertise and resource to answer the regulation. Small sketchy competitors will drop out.

Keep on investing!

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