 The
GX MSCI China Utilities ETF (CHIU) is an exchange-traded fund that
tracks the MSCI China Utilities Index, which is designed to capture
the performance of Chinese companies in the utilities sector. The fund
is managed by Mirae Asset Global Investments and was launched on the
NYSE Arca on June 29, 2021.
As of September 2021, CHIU had
total net assets of approximately $8 million and held a portfolio of
43 Chinese utilities companies. The fund's holdings are heavily
weighted towards electric utilities, which make up over 80% of the
portfolio, followed by gas utilities and water utilities.
The
fund's top holdings include China Petroleum & Chemical Corp (Sinopec),
China Yangtze Power Co Ltd, and China Resources Gas Group Ltd. CHIU
has an expense ratio of 0.60% and is rebalanced quarterly.
Investing in CHIU provides exposure to the Chinese utilities sector,
which is an important part of the country's infrastructure
development. However, investing in Chinese companies carries certain
risks, including political and economic risks, as well as regulatory
risks associated with investing in a foreign country. Additionally,
the ongoing trade tensions between the US and China may impact the
performance of Chinese companies and their stocks.
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