In comparison, other China-related ETFs are heavily allocated toward the financial, energy and telecom sectors and include many state-owned companies.
“Many US investors have little or no exposure to China, the second largest economy in the world,” Ahern added. “When they do invest in China directly or through broad emerging market exposure, many investment strategies provide a narrower representation of the Chinese economy due to their heavy weights in financials and energy.”
For more information on new fund launches, visit our new ETFs category.
Max Chen contributed to this article.