There are a number of ways to play China via ETFs. Don Dion of theStreet.com states that the Claymore/AlphaShares China Small Cap (HAO) is the best Chinese ETF in terms of performance. It’s up 75.7% year-to-date with an expense ratio of 0.7%. It also benefits from a historical tendency for small-cap stocks to perform well in recovery periods. The fund has wide exposure to private companies, rather than state-owned ones, as well.
Another notable ETF is the iShares FTSE/Xinhua China 25 Index (FXI), which is up 41.8% year-to-date, which is more concentrated and heavily invested in large caps.
For more stories on China, visit our China category.
Kevin Grewal contributed to this article.