As has been seen with the recent debuts and conversions of several A-shares ETFs listed in the U.S., ETF providers partner with asset managers with RQFII status. For example, the db X-trackers Harvest CSI 300 China A-Shares Fund (NYSEArca: ASHR) is issued by Deutsche Bank and the bank’s partnership with Harvest Fund Management, China’s second-largest asset manager, is a key element in the bank being able to offer an A-shares ETF that holds actual equities. Harvest has RQFII status.
Last week, KraneShares launched the KraneShares Bosera MSCI China A ETF (NYSEArca: KBA) after partnering with Bosera Asset Management, China’s fifth-largest asset manager, to gain RQFII status. [New A-Shares ETF Comes to Town]
Earlier this year, Market Vectors entered an agreement with China Asset Management, China’s largest mutual fund manager by assets under management, so that the Market Vectors China ETF (NYSEArca: PEK) could convert from A-shares derivatives to equities.
ETF Trends editorial team contributed to this post.