Chinese concept stocks are booming, how to trade Chinese assets 24 hours a day through ETFs

China's "Policy Package" Sparks Global Frenzy

With the introduction of China's economic stimulus policies, Chinese assets have seen a "big frenzy." Both domestic and foreign institutions such as Goldman Sachs, Morgan Stanley, UBS, and Nomura are collectively bullish. The market has experienced an epic short squeeze, with sentiment for going long on Chinese assets reaching unprecedented levels. According to UBS trading desk data:

On September 24, bullish options betting on China hit a new high since October 2022;
Hedge funds continued short covering last week, while foreign long-term capital engaged in chase-up trades. Domestic investors overwhelmingly favored buying on September 27;
Data from September 26 shows a surge in options trading for U.S.-listed China-concept ETFs, with notional trading value surpassing that of Hong Kong stock index options. FXI (China Large-Cap ETF) and KWEB (China Internet ETF) options trading volumes hit record highs;

Currently, many Chinese stocks listed in Hong Kong, A-shares, and U.S. markets are soaring, leaving equity investors facing decision fatigue. Investing in ETFs to participate in market volatility might be an easier option. While the A-share market is closed during the National Day holiday, we can still trade China-concept ETFs in Hong Kong and U.S. markets. Here are the most-watched China-concept ETFs:

Non-Leveraged ETFs

$Krne Csi China Internet(KWEB.US): Tracks a market-cap-weighted index of overseas-listed Chinese internet companies, with top holdings including Alibaba, Tencent Holdings, Meituan, Pinduoduo, etc.;
$iShares China Large Cap(FXI.US): Tracks a market-cap-weighted index of the 50 largest Chinese stocks traded on the Hong Kong Exchange, with top holdings including Alibaba, Tencent Holdings, Meituan, China Construction Bank, Xiaomi Group, etc.;
$iShares MSCI China(MCHI.US): Tracks the MSCI China Index, reflecting the broadest performance of China-concept stocks;
$Xtrk Hrvt Csi 300 Chn(ASHR.US): A U.S.-listed ETF that directly invests in A-shares, tracking the 300 largest and most liquid Chinese stocks (CSI 300) traded on the Shanghai and Shenzhen exchanges, with top holdings including Kweichow Moutai, CATL, Ping An Insurance, China Merchants Bank, etc.;

Leveraged or Inverse ETFs

$Direxion FTSE China Bull 3X(YINN.US): A daily 3x leveraged ETF tracking the FTSE China 50 Index, with its inverse counterpart being $Direxion FTSE China Bear 3X(YANG.US);
$Direxion CSI China Internet Index Bull 2X(CWEB.US): Tracks the same index as KWEB but offers twice the daily return of KWEB;
$Direxion CSI 300 China(CHAU.US): A daily 2x leveraged ETF tracking the CSI 300 Index;
$XL2CSOPHSTECH(07226.HK): A daily 2x leveraged ETF tracking the Hang Seng Tech Index, with its inverse counterpart being$XI2CSOPHSTECH(7552.HK);
$FL2 CSOP HSI(07200.HK): A daily 2x leveraged ETF tracking the Hang Seng Index, with its inverse counterpart being$FI2 CSOP HSI(7500.HK);

Longbridge U.S. stocks now support 24-hour trading, including ETFs like FXI, KWEB, YINN, and YANG, which are available for night trading. Investors can trade Chinese assets around the clock. Check all extended-hours stocks: Longbridge App - Market - U.S. Stocks - Extended Hours Leaderboard;

Explore All China-Concept ETFs on Longbridge

Popular ETFs

You can browse via in-app features:

Hong Kong-listed China-concept ETFs: Longbridge App - Market Discovery - More (top-right function button) - Hong Kong ETFs
U.S.-listed China-concept ETFs: Longbridge App - Market Discovery - More (top-right function button) - U.S. ETFs - Region - China

Learn About China-Concept ETFs via Smart Investment Assistant PortAI

You can also ask the smart investment assistant for detailed information on China-concept ETFs: @PortAI now (click the PortAI icon at the bottom right of the [Watchlist Drawer] to activate PortAI).