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 12 indices which are tracked by ETFs. The speciality of China are the three categories of Chinese stocks: A-stocks, B-stocks and H-stocks.
Alternatively, you may invest in indices on Emerging Markets or Asia.
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 12 indices available which are tracked by 25 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 |
Dow Jones China Offshore 50 | China | 1 ETF | 50 | The Dow Jones China Offshore 50 index tracks the largest companies whose primary operations are in mainland China but that trade on exchanges in Hong Kong or the U.S. Index factsheet |
FTSE China 30/18 Capped | China | 1 ETF | 1,073 (31.08.23) | 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 | 7 ETFs | 581 (29.11.24) | The MSCI China index tracks the largest and most liquid Chinese stocks (A shares, H shares, B shares, Red chips, P chips). Index factsheet |
MSCI China A | China | 4 ETFs | 566 (29.11.24) | 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 | 541 (31.08.23) | 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 | 755 (31.08.23) | 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 ex A Shares | China | 1 ETF | The MSCI China ex A Shares index tracks the largest and most liquid Chinese stocks, listed on the Hong Kong stock exchange (H-Shares, B-Shares, Red Chips, P Chips). | |
S&P China 500 | China | 1 ETF | 500 | The S&P China 500 index tracks the 500 largest and most liquid Chinese companies (all share classes including A-shares and offshore listings). Index factsheet |
S&P China A 300 | China | 1 ETF | 300 | The S&P China A 300 index tracks the 300 largest and most liquid Chinese A-Shares, denominated in Renminbi ("RMB") and listed on the Shenzhen and/or Shanghai stock exchanges. Index factsheet |
Source: justETF.com; As of 28.02.25; Calculations in EUR based on the largest ETF of the respective index.
The best China ETFs
by 1 year return
| 1 | iShares China Large Cap UCITS ETF | +55.62% |
| 2 | iShares China Large Cap UCITS ETF USD (Acc) | +55.40% |
| 3 | iShares Dow Jones China Offshore 50 UCITS ETF (DE) | +49.51% |
The cheapest China ETFs
by total expense ratio (TER)
| 1 | Franklin FTSE China UCITS ETF | +0.19% p.a. |
| 2 | UBS ETF (IE) MSCI China A SF UCITS ETF (USD) A-acc | +0.24% p.a. |
| 3 | Amundi MSCI China A II UCITS ETF Dist | +0.25% 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.
Emerging markets indices with a large share of China
As alternative you can consider ETFs on emerging markets. Currently, you can invest in 3 emerging markets indices tracked by 24 ETFs. The total expense ratio (TER) of ETFs on emerging markets is between 0.11% p.a. and 0.74% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
| FTSE BIC 50 | Emerging Markets China: 84.49% (30/11/2022) | 1 ETF | 50 | The FTSE BIC 50 index tracks the 50 largest stocks of the BIC countries (Brazil, India, China). Index factsheet |
| FTSE Emerging | Emerging Markets China: 33.14% (30/11/2022) | 3 ETFs | 2,219 (28.06.24) | The FTSE Emerging index tracks stocks from emerging markets worldwide. Index factsheet |
| MSCI Emerging Markets | Emerging Markets China: 30.40% (30/11/2022) | 20 ETFs | 1,253 (29.11.24) | The MSCI Emerging Markets index tracks stocks from emerging markets worldwide. Index factsheet |
Source: justETF.com; As of 28.02.25; 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 4 Asian indices, which are tracked by 10 ETFs. The total expense ratio (TER) of ETFs on Asian indices is between 0.20% p.a. and 0.74% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
| MSCI AC Asia Pacific ex Japan | Asia Pacific China: 28.63% (30/11/2022) | 1 ETF | 1,113 (29.11.24) | The MSCI AC Asia Pacific ex Japan index tracks equity markets of the emerging and developed countries of the Asia and Pacific region, excluding Japan. Index factsheet |
| MSCI AC Asia ex Japan | Asia Pacific China: 34.64% (30/11/2022) | 2 ETFs | 1,054 (29.11.24) | The MSCI AC Asia ex Japan index tracks equity markets of the emerging and developed countries of the Asia region, excluding Japan. Index factsheet |
| MSCI AC Far East ex Japan | Asia Pacific China: 41.69% (30/11/2022) | 3 ETFs | 898 (29.11.24) | 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 Pacific China: 38.94% (30/11/2022) | 4 ETFs | 1,010 (29.11.24) | The MSCI Emerging Markets Asia index tracks large and mid cap companies from Asian emerging markets. Index factsheet |
Source: justETF.com; As of 28.02.25; Calculations in EUR based on the largest ETF of the respective index.
