In an attempt to understand the Chinese market system, it will be necessary to familiarize one's self with the variety of shares offered in these markets. These shares are alphabetized for the purposes of identification, ownership and origin.

The Chinese have designed this "split share” system in order to allow the trading of shares to domestic and foreign investors. This complex and at the same time delicate tightrope, points directly to China's pragmatism, to create a workable balance between the PRC and a capitalist stock market, securing the country's corporate future and at the same time still maintaining control.

THE PROS AND CONS OF TRADING IN CHINA:

After many years of trial and error China finally may have turned the corner in creating an environment of confidence, domestically and internationally. However, while China has made aggressive attempts to institute a reliable and consistent regulatory infrastructure, corruption, stock valuation and the PRC's reluctance to open its internal markets to foreigners, continues to create problems in the Chinese markets. While corruption is not unique to China (Enron, WorldCom, and Adelphia to name comparisons) China's reaction to corruption is swift and drastic compared to the west. Corporate criminals can be subject to a firing squad if found guilty, unlike policies in the US. The reason for this response is simple, the PRC understands fully that to be completive globally, it must attain and maintain a level if integrity necessary to retain the confidence of foreign investors. They mandate their corporate officers operate with transparency and accountability and to conduct themselves with honor.

On the other hand China is well on its way to become the world's largest economic power, bringing its stock markets along with it. With the top five of the world's largest companies, China continues at warp speed to solidify its place atop the economic ladder and we predict that its stock markets will not be far behind.

An important aspect of this progress is China's ever increasing listings of IPO's on Stock Exchanges worldwide. In 2007 China led the entire world in the listing of new companies on the American exchanges. Of the approximately 50 IPO”s that went public, more than 28 was Chinese, raising approximately $50 billion US worldwide with over100 new IPO's. In 2008 however, there was a sharp drop in the number of both domestic and international offerings. In the third quarter 28 Chinese companies raised just under $4 Billion US, including local and overseas markets. The number of IPO's recorded was down 62%, 86% in total value in comparison to the same period last year. Among the total 18 companies were listed on domestic markets, raising approximately $2 Billion US, down 55% and 86% respectively, from the same period in 2007. This significant drop was partially due to the regulators slowing the pace of new offerings, in an effort to maintain market stability, amid fears of oversupply of shares combined with the Sub Prime meltdown and global economic slowdown.

Despite this downturn, China continues to forge ahead with offerings in tele- communications, solar, biotech, transportation, and shipping. In addition, the Political Risk Services (PRS) organization, which evaluates investment risk portfolios, has China ranked in its low risk category, among countries since 2001. This rating is based on several factors. Some of which are, (1) Using total foreign debt as a percentage of GDP. (2) Using debt in general as a percentage of export goods and services. (3) International liquidity and exchange rate stability. In 2006 when all was said and done on a scale of 50, China scored 47.5, Japan scored 46 with the United States scoring 30.5. 

China's growth still is largely dependent on the United States. This dependency however is on a diminishing scale if you will. As China continues to grow its dependence on the US or anyone else for that matter will inversely diminish over time. Unlike the US, China's growth to a great extent is due to its internal expansion, subsequent demand for goods, services and its rapidly expanding infrastructure. In addition, due to China's high savings rate and a relatively small fraction of people who participate in the stock market, the effects of volatility in the respective markets are significantly different. Therefore, a stock crash would have remarkably different effects on each respective economy. The United States on the other hand is saddled with huge debt, stagnant infrastructure, financial meltdown, trade imbalances, rising unemployment, job outsourcing and in general, economic slowdown unseen since the great depression. Any ripple in the US markets severely affects the way America does its business, due to the fact that the US economy is attached at the hip to its markets. This affects everyone in terms of interest rates, employment, pensions, real estate values etc. China meanwhile remains insulated against these conditions for reasons stated earlier and a crash would not have the same effect on capital or the economy in general.        

Note also that China has become the world's largest creditor and conversely the United States the world's largest debtor. If this current trend continues the future does not bode well for the latter, giving reason for concern in terms of where the future lies and where should one place their investment dollars. If there continues to be any doubt just look around your home, check the labels on your clothing, furniture, food, toys and the electronic equipment you use, to name just a few.

For us the answer is quite simple. The future is in the east. Over the years Gryphon has kept a close eye on the narrowing gap between alternatives and traditional investment vehicles and China now represents the former.

The Leviathan Trader will provide each and every participant, the opportunity to capitalize on the tremendous opportunities in the East. We consider these markets strong and viable due to the preponderance of emerging growth companies that are solid, with their limitless potential in its infancy. It is our goal to provide to our subscribers the best investment opportunities, through our years of experience, technical and analytical research available in the industry.

Today it is virtually impossible for the average investor to consistently make money making decisions and be successful, due to the complexity and nature of the selection process. Large institutions spend billions on computer technology, combined with critical analytical and technical information, making qualitative and quantitative decisions in nano seconds, in order to be successful.
For the individual investor, it is much too difficult to wade through the morass of information on these markets, in order to make substantive and ultimately profitable decisions. Many investors do initially make positive decisions in general on entry positions, but lack critical information, discipline or the intestinal fortitude to formulate a decisive exit strategy. The result, their hard earned dollars become liquidity for the market, they literally become the sacrificial lambs.

The average investor's first mistake is trying to beat the market. We have found this strategy to be just short of suicidal. In order to be successful our experience has shown that you must play alongside the market. You can be just as successful in a bear market as you can be in a bull market. It is the aggressive but controlled trade that wins.

When all this is said and done however, there is an additional component which is critical in the making of successful trades. You can read every book on trading, commit to memory every chart, review every piece of data, receive ten degrees from the Wharton School of Business, however if this was the answer, librarians would be billionaires. Information in the one critical requirement that is vital and an absolute in the making of successful trades, consistently and continuously. Without it you are going to fail. This information is available in varying degrees, but you must know where to look and how to use it. Many potentially successful trades are initiated by most investors, but fail due to many reasons, the most common being, knowing when to sell, the result of having too little information

Knowing when to sell from our perspective is the most important of all decisions when one participates in this profession.
The Leviathan Trader will provide investment information on all areas of the Asian markets to include but not limited to Stocks, Options, Commodities, IPO's, Currencies etc. It is our goal to provide the best investment advice to our subscribers in these markets, through our own research, technical and analytical analysis.

All stocks etc, provided to our subscribers can be purchased in the United States.

To a large extent, we will be primarily focusing on companies listed on the New York Stock Exchange in the form of ADR's and or ADS's. The NYSE requires extensive and rigorous disclosure requirements in order to use their services. It is our opinion that companies that meet these requirements will be lesser a risk factor, providing a higher comfort level, with regards to accuracy and transparency. Their will however be positions provided outside the jurisdiction of the New York Stock exchange. This will be done if and only when our research and information indicates that it is prudent to do so.

This information will be obtained by logging on to our web site. Each subscriber will be provided with their own personalized User Identification and Password in order to gain entry.

In addition to logging on to the site which is the primary way of obtaining our information, E-Mail alerts will provide a secondary means of information. It is imperative to respond immediately to these alerts to take advantage of the information provided, which at times will be time sensitive.

When a position becomes available all subscribers will be notified immediately. It is our suggestion that once you receive this information and you decide to take this position, Market Orders should be placed.

The buying and selling information we provide will be kept in its simplest form.

The examples are as follows:

In effect what we are saying is, if you have $100,000 to invest, you should not have any more than $8000 in any one position for a stock and no more than $5000 in any one position for an option. This will enable you to apportion your investment dollars and protect yourself at the same time.

1. Risk Management. Do not risk money you cannot afford to lose. You must determine what your risk tolerance is. Each investors risk tolerance is different. If you cannot afford to lose the money you are investing, you should find safer alternatives for your investment dollar.
2. Always trade in the present. Focus on the trade(s) at hand. Do not focus on the past.
3. Set definitive goals for each and every position. For example some investors are comfortable with a ten (10%) per cent gain, some are willing to wait and risk for higher percentages. The choice is entirely yours, however, once you have established your parameters, stick with them.

It is our goal to provide to our subscribers the best investment opportunities in these markets through our research and technical analysis, enabling our investors to manage risk through knowledge.

SCOPE AND FUNCTION.

Chinas immeasurable growth provides a myriad of opportunities for ones investment dollars. This growth is stimulated by the internal demand of one and a quarter billion people whose needs are immense as they elevate themselves from an agrarian existence, into the middle class. Many of these companies that will foster this transformation are in their infancy, which will provide significant growth opportunities for investors over time. As such we have identified the following as primary areas of focus.

1. Energy. Wind, Solar, Water, Nuclear, Biomass, Petrochemicals.
2. Agriculture.
3. Health Care.
4. Food Production.
5. Bio Technology.
6. Medical Technology.
7. Air Travel.
8. Shipping.
9. Transportation.
10.  Communications.
11.  Automobile manufacturing and parts replacement.
12.  Tourism.
13.  Equipment manufacturing.
14.  Computer technology.
15.  Entertainment.
16.  Insurance.
17.  Publishing.
18.  Infrastructure development.
19.  Education.
20.  Housing and Real Estate.

HOW TO SUBSCRIBE:

You have two choices: 60 Day Trail - $199.00 or 1 Full Year - $1499.00