(Repeats article first published late on Friday. Edits paragraph 1)
By Denny Thomas
HONG KONG, July 10 Reuters) - Less than a year after huge street protests prompted a re-think about Hong Kong as a financial centre, a wild four-week ride in mainland China's stock markets makes the city's investment hub look like a beacon of seasoned stability.
China's many-pronged state intervention in its markets, aimed at steadying share indexes that plunged by close to a third, has played to Hong Kong's strengths as a proven, transparent market - and a safer entry point for those wanting a piece of China in their investment portfolios.
In quick time, the notion that Shanghai or Shenzhen can play a role as a major international financial hub has been put back potentially by some years.
Amid the carnage on mainland markets, Hong Kong's appeal has returned - with its decades as a thriving investment hub, rule of law, free market policies and independent judicial system.
"China's misfortune may prove to be Hong Kong's gain," said Mark Konyn, CEO at Hong Kong-based Cathay Conning Asset Management. "The Hong Kong market remains a reliable and well governed alternative for China exposure and could represent good value once the dust settles."
Beijing's careful measures in recent years to open up its economy to global investors and internationalise its yuan currency - and a doubling in its stock market value in just a few months - had begun to cast a shadow over Hong Kong's role as the gateway to China.
But the policy bazookas lobbed at rescuing investors nursing losses of more than $3 trillion suggest Beijing is far from ready to let markets loose.
"The past couple of weeks was a big wake-up call to everyone," said Richard Ji, Hong Kong-based founder of All-Stars Investment Ltd, which manages about $900 million in Internet related companies. "This will serve as a big lesson."
SAFER PAIR OF HANDS
China's heavy-handed market management - cutting interest rates, suspending IPOs, easing margin lending and collateral rules, corralling brokerages into buying stocks and major shareholders into not selling them - serves to underscore Hong Kong's reputation for a Western-style business environment, built on a deep pool of financial experience and expertise.
"The past week's events bring out Hong Kong's positive attributes and will help regain some of it lost glory," said All-Stars' Ji. "The rule of law, developed institutional investor base and government's low interference in markets are key differentiators that give Hong Kong the edge over Shanghai."