More from Ken Wangdong, from 20/10/2015 I was invited to attend...

More from Ken Wangdong, from 20/10/2015
I was invited to attend the listing of Dongfang Modern Agriculture [ASXFM] at the ASX in Sydney yesterday.
It was a significant occasion for Chinese agriculture in Australia. Dongfang Modern Agriculture is the first privately owned Chinese agriculture company to be listed on the ASX in over 20 years.
In my conversation with Richard Li, the executive Chairman of GoConnect [ASX:GCN] at the listing, he said that this could mark the beginning of more Chinese agricultural listings to come.
His investment banking business is potentially going to move another two Chinese agricultural companies to list on the ASX after the DFM listing.
What should you do with GCN shares now?

This could be a very opportune time to list on the ASX for DFM. We are going through a bottoming process. But on the other hand, the strategic weight of agriculture will most likely gain against declining sectors such as mining.
When you put that in the framework of the latest free trade deal with China, you begin to see a trend of capital shift.
Chinese agriculture is a very interesting sector, because it is supported by the Chinese government. There is no tax on agricultural companies in China.
There is a clear regulatory bias towards supporting the agriculture sector in China and companies such as Dongfang Modern and GoConnect stand to benefit.
Ken Wangdong+
Emerging Market Analyst, New Frontier Investor