Those trading halts sent China A-shares ETFs that track mainland stocks are now trading at a wide discount to their net asset value. ETFs try to reflect the movement of their net asset value, or combined value of all securities in an ETF’s portfolio divided by the number of ETF shares outstanding, as market makers or authorized participants create or redeem ETF shares by buying or selling baskets of underlying securities for ETFs.
Since ETFs trade like any other stock on an exchange, the ETF’s price can fluctuate throughout the day. ETFs typically update their underlying trading value, calculating the approximate NAV every 15 seconds throughout the trading day. [A-Shares ETFs Trading at Steep NAV Discounts]
Deutsche Asset & Wealth Management, the issuer behind the Deutsche X-trackers Harvest CSI 300 China A-Shares ETF (NYSEArca: ASHR), the largest U.S.-listed A-shares ETF, and the Deutsche X-trackers Harvest CSI 500 China A-Shares Small Cap Fund (NYSEArca: ASHS), told Bloomberg ASHR seeks to fully replicate the CSI 300 Index whenever possible. [Shorts Burned by A-Shares Rally]
KraneShares Bosera MSCI China A ETF
