Has China Earned a Place in Your Portfolio?
Private businesses have grown to number more than
of all enterprises in China.
Source: China.org as of November 2019
China is home to the second-largest stock and bond markets globally.
Source: South China Morning Post, as of October 2020
Today, there are more than
companies listed on the Chinese stock exchanges, offering access to the potential economic growth of this emerging powerhouse.
Source: Bloomberg, as of Dec 2020
In 2021, more than
companies were newly listed on the Chinese stock exchanges, making it one of the top three IPO markets.
As China's economy has grown, its population has become more middle-class, shifting their spending from necessities to purchases that enhance their lifestyles.
By 2030, over 70% of China's population could be middle-class, consuming nearlyUS $10 trillion
in goods and services.
There is no guarantee any estimates of projections will be realized.
Source: World Bank Group
This environment has fostered innovative companies positioned to deliver solutions to meet their domestic demand– and that of consumers around the world.
By 2019, almost half the electric vehicles on the road were in China, which also leads in private vehicle chargers
Source: IEA, Global EV Outlook
China is digitally savvy, with over 1/3 of the world’s internet users
Source: Internetworldstats, as of June 2021
China is the world’s leading supplier of active pharmaceutical ingredients, and is the second-largest pharmaceutical market the world, after the U.S.
Source: Pharma.com, as of April 2018
At Matthews Asia, our investment team has the investment experience and regional expertise needed to seek out companies that are positioned for the future. The team searches for companies with the potential for delivering long-term growth and creating shareholder value.
China Active ETF
High-conviction equity portfolio seeks companies benefiting from China’s domestic consumption. All-cap fundamental GARP approach driven by on-the-ground research.
China Small Companies Fund
The Fund focuses on innovative, efficient and sustainable growth companies, with an emphasis on businesses oriented toward domestic demand and rising income levels.
China Dividend Fund
The Fund invests in companies that offer meaningful dividends yields, have sustainable business models and that demonstrate the propensity to pay increasing dividends over time.