The high volatility of Disneyland-related shares in Shanghai has made individual investors wary of such stocks on fears that the frequent tremors would benefit only institutional investors.

An example of this is the report that appeared on Tuesday in Securities Times. The report said the Shanghai Disneyland project had passed "the verification stage set by top decision-makers" and would be officially announced by the end of the month.

The Shanghai-based National Business Daily reported yesterday that US President Barack Obama's impending China visit in mid-November could have been the trigger for fast tracking the Disneyland project, citing insiders.

Shares of companies like Zhonglu Co Ltd, Shanghai Jielong Industry Group Corp Ltd, Shanghai Zhangjiang Hi-tech Park Development Co Ltd and Shanghai Shenda Co Ltd were among the prominent gainers.

The project was announced in March 2006 and has since then been the favorite of market speculators, even as both Disney and Shanghai municipal government remained tight lipped on the issue.

Ge, a retired stock investor in Shanghai, said yesterday that the Disneyland project has long been a hot topic for investors, as it is expected to boost the realty and other relevant sectors in Shanghai.

"However, I believe that the speculation has proven to be a windfall only for institutional investors," she said, adding that such stocks would not hold much appeal for her.

Wang Jianrong, a home-based investor, said such kind of "conceptual" speculation has occurred several times in the past three years.

"There is nothing new, these are only rumors. It may just be some speculators spreading news and taking advantage. As an individual investor, I won't risk investing in such shares."

Lu Qilin, a researcher with Shanghai-based Uwin Real Estate Research Center, said the rumors often follow news reports in securities newspapers.

"They (the newspapers) publish a Shanghai Disneyland-related story almost once every month without ascertaining the facts. I won't rule out the possibility of speculation and it reminds me of the story of the boy who cried wolf. So when the actual official announcement is made in the future, the market may not react that violently," he said.

"The speculation started long ago, and will end only after an official announcement is finally made," said Li Kongyi, an analyst at Essence Securities.

"These kind of reports will not have any long-term impact on the market performance of these firms. At the same time they will not also create any negative impact," he said.