Reply #16: French regulator flags risks in China stocks surge [View All]

[Ghost Dog]

http://yahoo.reuters.com/news/articlehybrid.aspx?storyID=urn:newsml:reuters.com:20071011:MTFH14456_2007-10-11_10-39-54_PEK309705&type=comktNews&rpc=44

BEIJING, Oct 11 (Reuters) - Chinese investors have lost sight of the risks of buying shares and need to beware the possibility of a sharp correction, France's securities regulator said on Thursday.

"Investing in the securities market is not gambling," Michel Prada, chairman of France's Autorite des Marches Financiers, told reporters. "One of the most difficult things to do is to make investors aware that markets are not ever going to the sky."

Shanghai's main share index <.SSEC> has risen 400 percent since the start of last year.

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