Investors considering healthcare exposure often focus on domestic stocks and exchange traded funds, but there are some compelling opportunities with this sector outside the U.S. China is one of those destinations to consider.

The China healthcare investment thesis is accessible with some new ETFs, including the KraneShares MSCI All China Health Care Index ETF (NYSEArca: KURE), which debuted earlier this year.

The KraneShares MSCI All China Health Care Index ETF will try to reflect the performance of the MSCI China All Shares Health Care Index, which is comprised of the various China share classes from Chinese companies engaged in the healthcare sector. Fundamental points underscore the potential benefits of KURE over long holding periods.

“China’s ongoing health reforms are now focused on addressing this imbalance and establishing an adequate primary healthcare infrastructure,” said Markit in a recent note. “County-level hospitals have been the chief beneficiaries, and are playing a more substantial role in diagnosis, delivering maintenance therapy, and refilling prescriptions. Tier 2 and Tier 1 hospitals are assuming more responsibility for healthcare delivery in China, which is driving demand for more of these institutions.”

Inside KURE ETF

KURE invests in a variety of publicly traded shares of Chinese issuers, including A-Shares, B-Shares, H-Shares, P-Chips and Red Chips – the portfolio essentially includes companies listed on Mainland China, Hong Kong and the U.S. Furthermore, the Chinese health care companies must be classified under the Global Industry Classification Standard. The index may also include small-, mid- and large-cap companies.