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See below:

http://www.gurufocus.com/global-market-valuation.php

While Mr. Buffett's favorite market cap-to-GDP metric is signaling "fully to slightly over valued" for the US stock market, China has officially moved into the too cheap to ignore any longer range in my opinion.

Between 1990 and today, 45% is the lowest market cap to GDP percentage that Chinese stocks have ever registered; currently they sit at 49%, a mere 8.5% above the lowest recorded number in the last 23 years in an economy whose citizenry is living much better today than they were in 1990.

According yahoo finance data, the FXI (China large caps etf) is trading at a p/e of 8x and yields 2.5% in an economy that will grow at least 4% per annum for the foreseeable future, meanwhile the S&P 500 trades at 18x in an economy that will grow at a maximum of 2% for the foreseeable future. 

Granted there are plenty of reasons to be leery of Chinese stocks in general, but at some point the worst case scenario is well baked into the price and a compelling opportunity presents itself. In a world full of uncompelling financial opportunities, at these levels, China as an investment really stands out.
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