Bill Gates, the world's richest man and founder of Microsoft Company, may step into the gate of A-share market at any time. The State Foreign Exchange Administration announced last Friday that Bill & Melinda Gates Foundation was approved to be QFII (qualified foreign institutional investor), with investment amounting to US$100 million. It is reported that among the currently approved 17 QFIIs, the Bill & Melinda Gates Foundation under the banner of Gates is the only non-financial institution, its investment volume of US$100 million, compared with the investment amount of US$50 million or US$75 million, shows off its "tremendous strength".

Sources say, the Bill & Melinda Gates Foundation, established in January 2000, mainly contributes to the cause of public good and hygiene and health-care services. The foundation is managed by senior William Gates, father of Bill Gates. The foundation, though with a staff of only 200 persons, boasts a huge asset worth US$27.6 billion, an amount 10 times that of US well-known firm "Rockefeller Foundation", and 3 times that of "Ford Foundation". Gates, who is powerful in the IT industry, also has keen interest in the stock market., he and Warren Buffett, nicknamed the "God of Stock" have become good friends, they often learn from each other's investment experiences.

Before it entered into inland stock markets, Gates Foundation had been blowing hot and cold" in Hong Kong-based stock markets. Gates Foundation has successively invested in "2882.HK" and "0187.HK", leading to a rise in the stock price for several days within a short term and even causing a surge in A-share related enterprises' shares. Exactly at the time when Gates Fund stimulated the unlimited enthusiasm of the stock players, it began to release the products of "2882.HK". As a result, the Gates Fund earned a windfall of over 40 percent, while the stock buyers pursuing a rise in stock price were firmly entangled in the speculation.

What stocks has Gates settled on in the inland this time? Although the Gates Foundation's spokesman said in his statement that by August, the foundation had not conducted research on its investment tactics in Shanghai and Shenzhen stock exchanges. There has long been rumor in inside industry that Changhong would be Gates' target. Because before obtaining QFII, Microsoft could only buy up Changhong's state-owned stock right through curb exchange, but after acquiring QFII, Gates Foundation can purchase Changhong's state-owned stock right on the secondary market. This undoubtedly means opening a new passage. Earlier, Microsoft had consistently stressed its intention to deepen cooperation with Chinese industry, buying Changhong's shares undoubtedly represents a "great leap" in deepening the industry.

No matter who will win Gates' favor, securities analysts are of the opinion, as the world richest man, Bill Gates' investment orientation is worth inland investors' attention. Judged from the past situation, Gates advocates decentralized risks and balanced investments; at the same time, funds under his banner are invested in large amounts in some enterprises of the old economy, and he is known for his "diverse" and "conservative" investment. Gates Foundation's purchase of Chinese stocks can only bring about temporary gilding effect, seen from the current situation, there is no substantive difference between Gates Fund and ordinary speculators. Therefore, when investors buy stocks, they should carefully choose investment and must examine the quality of stocks and carefully observe at least three years' achievements and operations of the listed company.

By People's Daily Online