How to invest in China using ETFs
How do I invest in Chinese stocks?
The easiest way to invest in the whole Chinese stock market is to invest in a broad market index. This can be done at low cost by using ETFs.
On the Chinese stock market you'll find 9 indices which are tracked by ETFs. The speciality of China are the three categories of Chinese stocks: A-stocks, B-stocks and H-stocks.
Besides Hong Kong listed stocks, indices on Emerging Markets or Asia can be invested alternatively.
Performance of Chinese stocks (MSCI China)
Indices in comparison
The best indices for ETFs on China
For an investment in the Chinese stock market, there are 9 indices available which are tracked by 21 ETFs. The speciality of investing in China are the different categories of Chinese stocks. The total expense ratio (TER) of ETFs on these indices is between 0,19% p.a. and 0,88% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
CSI 300 |
China | 2 ETFs | 300 |
The CSI 300 index tracks 300 stocks with the largest market capitalisation and liquidity from the entire universe of listed A share companies in the People’s Republic of China.
Index factsheet |
FTSE China 30/18 Capped |
China | 1 ETF | 1.059 (31/3/22) |
The FTSE China 30/18 Capped tracks Chinese companies with large and medium market capitalisation whose shares are listed on stock exchanges in China (A shares) or outside China (B shares, H shares, P chips, red chips, S chips, N shares). The largest company in the index is limited to a maximum of 30 percent of the index capitalization, all other index components to a maximum of 18 percent.
Index factsheet |
FTSE China 50 |
China | 2 ETFs | 50 |
The FTSE China 50 index tracks the 50 largest and most liquid Chinese companies listed on the Hong Kong Stock Exchange (H-Shares, Red Chips und P Chips).
Index factsheet |
FTSE China A-H 50 |
China | 1 ETF | 50 |
The FTSE China A-H 50 index tracks the 50 largest Chinese A-Shares listed on the Shanghai or Shenzen stock exchanges. Each company will be represented either by its A-share or by its H-share.
Index factsheet |
MSCI China |
China | 6 ETFs | 717 (31/8/22) |
The MSCI China index tracks the largest and most liquid Chinese stocks, listed on the Hong Kong stock exchange (H-Shares, B-Shares, Red Chips, P Chips).
Index factsheet |
MSCI China A |
China | 3 ETFs | 751 (31/8/22) |
The MSCI China A index tracks the largest and most liquid Chinese A-Shares, denominated in Renminbi ("RMB") and listed on the Shenzhen and/or Shanghai stock exchanges. This index reflects Mainland China A-share securities from a domestic investor’s perspective.
Index factsheet |
MSCI China A Inclusion |
China | 3 ETFs | 490 (31/3/22) |
The MSCI China A Inclusion index tracks China A-Shares also included in the MSCI Emerging Markets.
Index factsheet |
MSCI China All Shares Stock Connect Select |
China | 1 ETF | 738 (31/3/22) |
The MSCI China All Shares Stock Connect Select index tracks large and mid cap Chinese securities. The stock selection includes share classes listed in Shanghai or Shenzhen (A-Shares, B-Shares), Hongkong (H-Shares, Red-chips, P-chips) as well as foreign listings
Index factsheet |
MSCI China H |
China | 2 ETFs | 79 (31/8/22) |
The MSCI China H index tracks the largest and most liquid Chinese H-Shares, listed on the Hong Kong stock exchange.
Index factsheet |
| ETF ISIN |
Fund size in m EUR |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| iShares MSCI China A UCITS ETFIE00BQT3WG13 | 2.058 | 0,40% p.a. | Acumulación | Irlanda | Optimizada muestreo | |
| Xtrackers CSI 300 Swap UCITS ETF 1CLU0779800910 | 1.757 | 0,50% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| Xtrackers MSCI China UCITS ETF 1CLU0514695690 | 1.572 | 0,65% p.a. | Acumulación | Luxemburgo | Replicación física perfecta | |
| HSBC MSCI China UCITS ETF USDIE00B44T3H88 | 1.095 | 0,30% p.a. | Distribución | Irlanda | Replicación física perfecta | |
| iShares MSCI China UCITS ETF USD (Acc)IE00BJ5JPG56 | 659 | 0,40% p.a. | Acumulación | Irlanda | Replicación física perfecta | |
| iShares China Large Cap UCITS ETFIE00B02KXK85 | 537 | 0,74% p.a. | Distribución | Irlanda | Replicación física perfecta | |
| Xtrackers Harvest CSI 300 UCITS ETF 1DLU0875160326 | 478 | 0,65% p.a. | Distribución | Luxemburgo | Replicación física perfecta | |
| Lyxor MSCI China UCITS ETF - AccLU1841731745 | 374 | 0,29% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| Lyxor MSCI China A (DR) UCITS ETF - AccFR0011720911 | 227 | 0,35% p.a. | Acumulación | Francia | Optimizada muestreo | |
| Franklin FTSE China UCITS ETFIE00BHZRR147 | 213 | 0,19% p.a. | Acumulación | Irlanda | Replicación física perfecta | |
| UBS ETF (IE) MSCI China A SF UCITS ETF (USD) A-accIE00BKFB6K94 | 163 | 0,30% p.a. | Acumulación | Irlanda | Swap | |
| Invesco MSCI China All Shares Stock Connect UCITS ETF AccIE00BK80XL30 | 101 | 0,35% p.a. | Acumulación | Irlanda | Replicación física perfecta | |
| Xtrackers FTSE China 50 UCITS ETF 1CLU0292109856 | 94 | 0,60% p.a. | Acumulación | Luxemburgo | Replicación física perfecta | |
| Amundi MSCI China UCITS ETF EUR (C)LU1681043912 | 70 | 0,55% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| HSBC MSCI China A Inclusion UCITS ETFIE00BF4NQ904 | 61 | 0,30% p.a. | Distribución | Irlanda | Replicación física perfecta | |
| L&G E Fund MSCI China A UCITS ETFIE00BHBFDF83 | 22 | 0,88% p.a. | Acumulación | Irlanda | Optimizada muestreo | |
| Xtrackers Harvest FTSE China A-H 50 UCITS ETF 1DLU1310477036 | 9 | 0,65% p.a. | Distribución | Luxemburgo | Replicación física perfecta | |
| iShares MSCI China UCITS ETF USD (Dist)IE00BL977C92 | 8 | 0,40% p.a. | Distribución | Irlanda | Replicación física perfecta | |
| Amundi ETF MSCI China UCITS ETF USDLU1681044050 | 4 | 0,55% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| HSBC MSCI China UCITS ETF USD (Acc)IE0007P4PBU1 | 3 | 0,30% p.a. | Acumulación | Irlanda | Replicación física perfecta | |
| HSBC MSCI China A UCITS ETF USD (Acc)IE000Z4OYPZ6 | 0 | 0,30% p.a. | Acumulación | Irlanda | Replicación física perfecta |
| Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
|---|---|---|---|---|---|---|
| MSCI China | -11,94% | -17,83% | -10,58% | -23,87% | -12,47% | |
| FTSE China 30/18 Capped | -11,62% | -17,48% | -10,92% | -23,36% | -9,44% | |
| MSCI China All Shares Stock Connect Select | -9,95% | -15,93% | -8,86% | -20,04% | - | |
| FTSE China 50 | -12,25% | -17,90% | -10,40% | -19,53% | -23,10% | |
| MSCI China A | -7,36% | -13,72% | -6,82% | -14,01% | 27,21% | |
| MSCI China A Inclusion | -6,56% | -12,80% | -5,81% | -13,12% | 28,07% | |
| CSI 300 | -6,43% | -13,59% | -6,06% | -11,03% | 32,49% | |
| FTSE China A-H 50 | -5,59% | -13,89% | -4,41% | -8,97% | 9,95% | |
| MSCI China H | -9,73% | -13,78% | -7,65% | -6,69% | -6,96% |
| Index | 2022 in % |
2021 in % |
2020 in % |
2019 in % |
2018 in % |
|
|---|---|---|---|---|---|---|
| FTSE China 30/18 Capped | -20,94% | -13,60% | 19,47% | - | - | |
| MSCI China | -20,63% | -15,64% | 17,77% | 25,97% | -16,66% | |
| MSCI China All Shares Stock Connect Select | -19,53% | - | - | - | - | |
| MSCI China A | -18,55% | 12,08% | 30,04% | 39,77% | -27,11% | |
| MSCI China A Inclusion | -17,69% | 11,52% | 30,61% | 38,03% | -22,62% | |
| FTSE China 50 | -17,40% | -14,06% | 0,79% | 15,94% | -8,30% | |
| CSI 300 | -16,66% | 11,68% | 32,87% | 44,61% | -21,41% | |
| FTSE China A-H 50 | -12,96% | 1,98% | 17,22% | 39,42% | -16,66% | |
| MSCI China H | -6,46% | 3,78% | -9,73% | 13,30% | -9,02% |
Source: justETF.com; As of 30/9/22; Calculations in EUR based on the largest ETF of the respective index.
The best China ETFs
by 1 year return
| 1 | Amundi MSCI China UCITS ETF EUR (C) | -6,69% |
| 2 | Amundi ETF MSCI China UCITS ETF USD | -7,34% |
| 3 | Xtrackers Harvest FTSE China A-H 50 UCITS ETF 1D | -8,97% |
The cheapest China ETFs
by total expense ratio (TER)
| 1 | Franklin FTSE China UCITS ETF | 0,19% p.a. |
| 2 | Lyxor MSCI China UCITS ETF - Acc | 0,29% p.a. |
| 3 | HSBC MSCI China A Inclusion UCITS ETF | 0,30% p.a. |
Speciality
Chinese A-stocks (A-Shares): Stocks of Chinese companies that are listed on the Shanghai or Shenzhen stock exchange and traded in local currency.
This category has been exclusive to Chinese investors. However, professional foreign investors with a special license are able to invest in these stocks under certain restrictions.
Chinese B-stocks (B-Shares): Stocks of Chinese companies that are listed on the Shanghai or Shenzhen stock exchange and traded in foreign currency.
This category has been open for foreign investments. Since the restrictions on A-Shares have been lowered, these shares tend to be losing liquidity.
Hong Kong H-stocks (H-Shares): Stocks of Chinese companies that are listed on the Hong Kong stock exchange and traded in Hong Kong Dollar (HKD).
This category has been open for foreign investments as well. Most institutional investors prefer H-stocks due to their relatively high liquidity.
Indices on Hong Kong listed stocks
Besides China ETFs you can invest in ETFs on the Hong Kong stock market. In order to invest in Hong Kong there are 0 indices, which are tracked by 0 ETFs. The total expense ratio (TER) of ETFs on Hong Kong is at -.
-
For the selected origin country, there are no ETFs with this investment
focus available.
You are able to select your country of origin on the top of the screen.
Emerging markets indices with a large share of China
As second alternative you can consider ETFs on emerging markets. Currently, you can invest in 3 emerging markets indices tracked by 19 ETFs. The total expense ratio (TER) of ETFs on BRIC countries is between 0,15% p.a. and 0,74% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
| FTSE BRIC 50 | Mercados emergentes
China: 83,28% (31/05/2022) |
1 ETF | 50 |
The FTSE BRIC 50 index tracks the 50 largest stocks of the BRIC countries (Brazil, Russia, India, China).
Index factsheet |
| FTSE Emerging | Mercados emergentes
China: 33,65% (31/05/2022) |
2 ETFs | 1.894 (30/6/22) |
The FTSE Emerging index tracks stocks from emerging markets worldwide.
Index factsheet |
| MSCI Emerging Markets | Mercados emergentes
China: 30,78% (31/05/2022) |
16 ETFs | 1.382 (31/8/22) |
The MSCI Emerging Markets index tracks stocks from emerging markets worldwide.
Index factsheet |
| ETF ISIN |
Fund size in m EUR |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| Xtrackers MSCI Emerging Markets UCITS ETF 1CIE00BTJRMP35 | 4.192 | 0,18% p.a. | Acumulación | Irlanda | Optimizada muestreo | |
| iShares MSCI EM UCITS ETF (Dist)IE00B0M63177 | 3.214 | 0,18% p.a. | Distribución | Irlanda | Optimizada muestreo | |
| Amundi ETF MSCI Emerging Markets UCITS ETF DRLU1437017350 | 2.452 | 0,20% p.a. | Acumulación | Luxemburgo | Replicación física perfecta | |
| Amundi MSCI Emerging Markets UCITS ETF EUR (C)LU1681045370 | 1.901 | 0,20% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| Vanguard FTSE Emerging Markets UCITS ETF DistributingIE00B3VVMM84 | 1.836 | 0,22% p.a. | Distribución | Irlanda | Optimizada muestreo | |
| iShares MSCI EM UCITS ETF (Acc)IE00B4L5YC18 | 1.225 | 0,18% p.a. | Acumulación | Irlanda | Optimizada muestreo | |
| UBS ETF (LU) MSCI Emerging Markets UCITS ETF (USD) A-disLU0480132876 | 1.157 | 0,23% p.a. | Distribución | Luxemburgo | Optimizada muestreo | |
| HSBC MSCI Emerging Markets UCITS ETF USDIE00B5SSQT16 | 988 | 0,15% p.a. | Distribución | Irlanda | Optimizada muestreo | |
| Amundi ETF MSCI Emerging Markets UCITS ETF USDLU1681045453 | 857 | 0,20% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| Lyxor MSCI Emerging Markets UCITS ETF - Acc EURFR0010429068 | 812 | 0,55% p.a. | Acumulación | Francia | Swap sin fondos | |
| Xtrackers MSCI Emerging Markets Swap UCITS ETF 1CLU0292107645 | 700 | 0,49% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| Invesco MSCI Emerging Markets UCITS ETFIE00B3DWVS88 | 393 | 0,19% p.a. | Acumulación | Irlanda | Swap sin fondos | |
| Amundi Index MSCI Emerging Markets UCITS ETF DR EUR (D)LU1737652583 | 324 | 0,20% p.a. | Distribución | Luxemburgo | Replicación física perfecta | |
| SPDR MSCI Emerging Markets UCITS ETFIE00B469F816 | 276 | 0,42% p.a. | Acumulación | Irlanda | Optimizada muestreo | |
| Vanguard FTSE Emerging Markets UCITS ETF AccIE00BK5BR733 | 225 | 0,22% p.a. | Acumulación | Irlanda | Optimizada muestreo | |
| Lyxor MSCI Emerging Markets UCITS ETF - Acc USDFR0010435297 | 126 | 0,55% p.a. | Acumulación | Francia | Swap sin fondos | |
| iShares BRIC 50 UCITS ETFIE00B1W57M07 | 123 | 0,74% p.a. | Distribución | Irlanda | Replicación física perfecta | |
| Amundi Index MSCI Emerging Markets UCITS ETF DR - USD (D)LU2277591868 | 121 | 0,20% p.a. | Distribución | Luxemburgo | Replicación física perfecta | |
| HSBC MSCI Emerging Markets UCITS ETF USD (Acc)IE000KCS7J59 | 65 | 0,15% p.a. | Acumulación | Irlanda | Optimizada muestreo |
| Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
|---|---|---|---|---|---|---|
| FTSE BRIC 50 | -11,36% | -14,71% | -9,93% | -28,77% | -24,72% | |
| MSCI Emerging Markets | -10,18% | -7,02% | -12,38% | -15,84% | 2,97% | |
| FTSE Emerging | -8,18% | -4,79% | -9,00% | -10,66% | 7,91% |
| Index | 2022 in % |
2021 in % |
2020 in % |
2019 in % |
2018 in % |
|
|---|---|---|---|---|---|---|
| FTSE BRIC 50 | -25,53% | -17,37% | 8,88% | 25,09% | -4,43% | |
| MSCI Emerging Markets | -16,52% | 5,39% | 8,01% | 20,90% | -11,48% | |
| FTSE Emerging | -11,73% | 7,64% | 4,95% | 21,96% | -9,38% |
Source: justETF.com; As of 30/9/22; Calculations in EUR based on the largest ETF of the respective index.
Asia indices with a large share of China
As further alternative you can invest in indices on Asia. In total, you can consider 2 Asian indices, which are tracked by 9 ETFs. The total expense ratio (TER) of ETFs on Asian indices is between 0,12% p.a. and 0,74% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
| MSCI AC Far East ex Japan | Asia Pacífico
China: 40,98% (31/05/2022) |
4 ETFs | 1.092 (31/8/22) |
The MSCI AC Far East ex Japan index tracks equity markets of the emerging and developed countries of the East Asian region, excluding Japan.
Index factsheet |
| MSCI Emerging Markets Asia | Asia Pacífico
China: 39,28% (31/05/2022) |
5 ETFs | 1.147 (31/8/22) |
The MSCI Emerging Markets Asia index tracks large and mid cap companies from Asian emerging markets.
Index factsheet |
| ETF ISIN |
Fund size in m EUR |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| iShares MSCI EM Asia UCITS ETF (Acc)IE00B5L8K969 | 1.571 | 0,20% p.a. | Acumulación | Irlanda | Replicación física perfecta | |
| Amundi MSCI Emerging Markets Asia UCITS ETF EUR (C)LU1681044480 | 1.125 | 0,20% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| iShares MSCI AC Far East ex-Japan UCITS ETFIE00B0M63730 | 1.045 | 0,74% p.a. | Distribución | Irlanda | Replicación física perfecta | |
| SPDR MSCI EM Asia UCITS ETFIE00B466KX20 | 913 | 0,55% p.a. | Acumulación | Irlanda | Optimizada muestreo | |
| Amundi ETF MSCI Emerging Markets Asia UCITS ETF USDLU1681044563 | 730 | 0,20% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| HSBC MSCI AC Far East ex Japan UCITS ETF USDIE00BBQ2W338 | 374 | 0,45% p.a. | Acumulación | Irlanda | Optimizada muestreo | |
| Lyxor MSCI EM Asia UCITS ETF - AccLU1781541849 | 175 | 0,12% p.a. | Acumulación | Luxemburgo | Swap sin fondos | |
| iShares MSCI AC Far East ex-Japan UCITS ETF USD (Acc)IE00BKPX3K41 | 72 | 0,74% p.a. | Acumulación | Irlanda | Replicación física perfecta | |
| HSBC MSCI AC Far East ex Japan UCITS ETF USD (Dist)IE00022VXYM7 | 2 | 0,45% p.a. | Distribución | Irlanda | Optimizada muestreo |
| Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
|---|---|---|---|---|---|---|
| MSCI AC Far East ex Japan | -10,82% | -11,88% | -14,29% | -19,41% | -1,47% | |
| MSCI Emerging Markets Asia | -9,98% | -8,35% | -11,66% | -16,23% | 8,13% |
| Index | 2022 in % |
2021 in % |
2020 in % |
2019 in % |
2018 in % |
|
|---|---|---|---|---|---|---|
| MSCI AC Far East ex Japan | -18,77% | -2,74% | 14,54% | 20,95% | -11,69% | |
| MSCI Emerging Markets Asia | -16,21% | 1,48% | 16,79% | 20,75% | -12,01% |
Source: justETF.com; As of 30/9/22; Calculations in EUR based on the largest ETF of the respective index.