S&P 500 ETF is the default ETF to get an exposure to US equities. But what about China? Many investors are not familiar with the Chinese markets and her indices, and what ETFs are available for their choosing.
Fret not, let me quickly orientate you and at least point you to the right direction in choosing a China ETF, should you be interested.
China stocks are listed in different exchanges
First, you have to know that China stocks are often listed in different exchanges all around the world. This is unlike the American companies which are usually listed in the U.S.
China A shares refer to those China stocks listed in Shanghai Stock Exchange or Shenzhen Stock Exchange.
China H shares refer to the China companies listed in the Stock Exchange of Hong Kong. More often than not, these H shares have their A share counterparts listed in the Mainland too.
Then there’re Chinese ADRs – listed in New York Stock Exchange or NASDAQ.