If I had to pick the most critical economic phenomenon in China during 2007, it would be the incredible Mainland A-Share stock market boom. The Shanghai Stock Exchange Index closed the year at 5,261, which is 97% higher than a year ago. As a result of this incredible run-up, the Chinese stock market set many new world financial records:

Most IPO money raised: The two Mainland Chinese stock exchanges raised a total of $61 billion through IPOs in 2007, more than any other stock exchange in the world—including major exchanges in London, New York and Hong Kong. That's a huge number considering that just two years ago Mainland Chinese exchanges raised less than $4 billion through IPOs.

Most valuable company: PetroChina's A-Share IPO in November made it the first company in the world to surpass $1 trillion in market capitalization, more than twice the value of number-two Exxon Mobil. Note that this market cap calculation is based on PetroChina's A-Share price, not the much lower H-Share price in Hong Kong.

Most investors: The number of brokerage accounts in Mainland China increased from 78 million to 130 million in 2007. Because of restrictions preventing Chinese investors from opening multiple accounts at different brokerages, it's safe to assume that China has one of the highest numbers of stock market investors in the world today.

Here at China Strategy we were able to capitalize on these trends and came out with a 35% average return per holding for 2008.

To get in on these kinds of gains for yourself, join China Strategy today!