China Equity

China equity mutual funds and ETFs own securities listed on the stock... China equity mutual funds and ETFs own securities listed on the stock exchanges of mainland China. China has three stock exchanges: the Beijing stock exchange, the Shanghai stock exchange, and the Shenzhen stock exchange. Of these, the two largest are the Shanghai and Shenzhen exchanges. In Shanghai, the stock market is divided into two trading boards—one for established companies, and another for smaller, more innovative ones. The latter is host to businesses involved in fields such as pharmaceuticals, semiconductors, and renewable energy. China equity mutual funds and ETFs can be actively or passively managed. They may also leave currency exposure unhedged, or choose to protect the portfolio from swings in the value of the Renminbi. Investors are attracted to China equity mutual funds and ETFs because of the potential for growth in the world’s second-largest economy, which boasts an estimated 2023 GDP of over US$19 trillion, second only to the United States. These funds may be appropriate for aggressive investors willing to take on more risk in search of higher returns. Last Updated: 11/22/2024 View more View less

China equity mutual funds and ETFs own securities listed on the stock exchanges of mainland China. China has three stock exchanges: the Beijing stock exchange, the Shanghai stock exchange, and the Shenzhen stock... China equity mutual funds and ETFs own securities listed on the stock exchanges of mainland China. China has three stock exchanges: the Beijing stock exchange, the Shanghai stock exchange, and the Shenzhen stock exchange. Of these, the two largest are the Shanghai and Shenzhen exchanges. In Shanghai, the stock market is divided into two trading boards—one for established companies, and another for smaller, more innovative ones. The latter is host to businesses involved in fields such as pharmaceuticals, semiconductors, and renewable energy. China equity mutual funds and ETFs can be actively or passively managed. They may also leave currency exposure unhedged, or choose to protect the portfolio from swings in the value of the Renminbi. Investors are attracted to China equity mutual funds and ETFs because of the potential for growth in the world’s second-largest economy, which boasts an estimated 2023 GDP of over US$19 trillion, second only to the United States. These funds may be appropriate for aggressive investors willing to take on more risk in search of higher returns. Last Updated: 11/22/2024 View more View less