Looking for a good Chinese ETF, fxi only has 25 holdings and an expense ration of .7 where gxc has 130 and an expense ratio of .6 I am thinking gxc is the way to go.

Any other notable Chinese etf's or compelling reasons to go with fxi?

PS.
Also considering just buying a little more VWO and VEU instead to stay more diversified ... I am a newb and with such a volatile market it is tough to choose, any input would be appreciated.

kevintmckay:

Looking for a good Chinese ETF, fxi only has 25 holdings and an expense ration of .7 where gxc has 130 and an expense ratio of .6 I am thinking gxc is the way to go.

I have no real opinion (although I own FXI).  Just to point out, the assets of GXC are $200M whereas FXI is over $7B.  And the top 10 holdings of each, which are virtually identical, account for >50% of the assets in each case.  The "style" of FXI is classified as "large cap blend" whereas GXC is "large cap growth", but given that the holdings are so similar, I'm not sure if this is much more than a theoretical difference.

kevintmckay:

Also considering just buying a little more VWO and VEU instead to stay more diversified ... I am a newb and with such a volatile market it is tough to choose, any input would be appreciated.

Do it.

Unless you plan to live there, putting too many assets in one country, especially when its an emerging market, is asking for trouble IMHO.  But if you like the wild ride, that's up to you.

IF your feeling a little unsure with FXI because it is not diversified enough, check out FNI (expense ratio 0.60%)

FNI has 50 holdings, and the price is cheaper, you won't get the dividend type that FXI is offering, however, I assume your buying the ETF for China's increadible growth. I must tell you however, that FNI trades at much less volume than FXI, but not enough to inhibit you from selling all your shares.

If you don't need to have China, then a blend of China/Brazil/and Taiwan, ADRE (Expense Ratio 0.30%) is GREAT, and it's diversified among 50 stocks.

ADRE trades at a higher volume than FNI

Good luck

Here is a China CEF that I like more than the ETFs.

Morgan Stanley China A Share Fund (CAF)

http://www.etfconnect.com/

http://www.closed

Sergeant_Major

I invite all zeccoshare members to join the High-Yield Investing group!

Is this for long term or short term? I noticed they all have such large fluctuations in value (I know, too much capital chasing too few stocks in the closed Chinese market, too little accurate financial and accounting data provided). I bought a couple of shares of CAF as a trial in the upper 40s, sold this morning before the drop and netted a nice return, but I'm scared about long term in any market right now with some many unknowns in the world economy.

buy PGJ (powershares halter golden dragon) it has a lot of solid chinese holdings and is unbearably cheap right now. i would take a look. i've been following it for about a year with a 60% gain and its pretty much lost 25% of that this month. the price will not go any lower so check this great etf out.

sgoldst26:

the price will not go any lower

How can you possibly make that assertion?

it is so cheap compared to the market and if you look at the 5 year 200 day moving average, you will see there is a key reversal in effect.

I really like the VEU, it is 47 countries not just China. But I think the additional diversification is good and I have a sizeable position.

For some reason however Zecco does not show it on my Profile page, I am going to the money show in Orlando this week and hope to see them there and discuss it with them.

agreed. great response.

As for which ETF to play China--one recently came out which gives you exposure to A-shares, which is new--seeing as American's can't invest "directly" (technically speaking). Personally, I'd look to grab an ETF that would short A-share listed companies...also, one might also want to re-evaluate their strategy if they think jumping in when chinese stocks were all time high's. Bottom line, Chinese equities are overvalued, overpriced, and incipient bubble has formed...wait til the bubble bursts first, a correction is due...

For an index ETF: FXI, PGJ, GXC
Closed-end ETF: TFC, GCH, CHN, JFC, CAF

The index has fallen down almost 50% from its highest level. Is it reasonable to buy some? or we should keep waiting....

D121327699:

The index has fallen down almost 50% from its highest level. Is it reasonable to buy some? or we should keep waiting....

I would wait until at least after the Olympic.   Since there is a rumors that many China's investors are holding for the Olympic, there probably will be a massive sell-off before and after the Olympic.

FXP is a nice one

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Rise of A Star! One Million By 2012!

FXP until FXI is at $90. When FXI reaches $85, consider buying it and if it falls below $75, I'd back up the truck! FXI is currently trading at $127; it was trading as high as $219.

Before you buy FXI, you really want to see the global growth story myth cease to exist.

Some interesting combinations:

BIDU & 1/2 FXP --> Allows you to trade for BIDU disallowing twice the Chinese market
TAO & 1/2 FXP --> Allows you to play the real estate market in China discounting the effect of the Chinese economy 2x.

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Aqua