Enthuse 发表于 2010-5-26 01:41 
theoretically, if a stock never pays dividend, it is worthless.
In my opinion, equity is like futures. the underlyings are the firm's profitability (for equity) and the commodity (for futures). We need an exchange here to link up profitability - equity / commodity - futures. futures price will be the same as commidity price because the existence of settlement. Same concept here for equity, if no dividend for the shareholder forever, the change of share price will become no reason as shareholder cannot consume the reveneue of the firm. So I agree, China stock market is a piece of shxt.