China ETFs are also trading at some cheap valuations. For instance, FXI shows a 8.8 price-to-earnings, GXC has a 9.4 P/E and MCHI trades at a 9.5 P/E. In contrast, ASHR has a 13.5 P/E and the S&P 500 Index is trading at a 17.0 P/E.

With some of the cheapest valuations around, hedge funds and other investors are taking an interest in Chinese companies listed in Hong Kong as a way to take a position in China’s growth, Hughes reports.

iShares China Large-Cap ETF

Max Chen contributed to this article.