Over the past few years it has become increasingly clear that China is now the most important economy in the world. Though second to the U.S. in total size, China accounts directly for a significant portion of global GDP growth and has contributed indirectly to expansion in developed and emerging markets around the globe–particularly resource rich countries that have stepped up to fuel ongoing urbanization and aggressive infrastructure expansions and improvements.
As interest in China’s equity markets has surged in recent years, it shouldn’t be surprising that investors have embraced ETFs as an efficient means of accessing this promising economy. There are currently nearly two dozen ETFs offering exposure to China, including both broad-based and sector-specific offerings. Moreover, investors seeking leveraged exposure or access to the Chinese currency have additional choices from the ETF lineup.
Each of the China ETFs puts a unique spin on exposure to the Asian powerhouse, resulting in unique risk considerations and return potentials. The type of securities held, degree of concentration, sector biases, and market cap breakdown all contribute to the profile offered to investors, making the task of establishing optimal China exposure a challenging one.
A new research report from ETF Database analyzes the Chinese economy and the ETF options for accessing this market, offering candid assessments of the advantages and disadvantages of each option. The 46-page report includes:
- Overview of China’s Economy
- Analysis of Systematic Underweighting of China by Most U.S. Investors
- Discussion of Factors to Consider When Evaluating China ETFs
- Comparison of All 22 China ETFs by Historical Returns, Expenses, Portfolio Concentration, and Liquidity
- 22 In-Depth Reports on Each China ETF
- Overview of Leveraged and Inverse ETF Options
- Comparison of Two ETPs Offering Exposure to the Chinese Yuan
- ETFdb Analyst Picks For Optimal China Exposure
The full version of China ETFs In Focus is available to ETFdb Pro members now. Other readers can see a free preview of the new report, or sign up for a free 7-day trial of ETFdb Pro to get complete access.
Disclosure: No positions at time of writing.