FXI Profile
The iShares China Large-Cap ETF focuses on providing investors with exposure to the largest and most liquid companies within the Chinese equity market. Under normal market conditions, the fund invests at least 80% of its assets in securities that are components of its underlying index, as well as in investments with economic characteristics substantially identical to those component securities. This strategy ensures that the majority of the fund’s assets are aligned with the index it tracks, reflecting the performance of large-cap Chinese stocks.
The underlying index for this fund is specifically designed to measure the performance of major Chinese companies that are listed on the Stock Exchange of Hong Kong. These companies are among the largest by market capitalization and are accessible to international investors. The index provides a comprehensive gauge of the performance of China's leading firms, offering investors a window into the top-tier segment of the Chinese equity market.
This ETF targets large-cap companies that are key players in China’s economic landscape, encompassing sectors such as technology, finance, and consumer goods. By focusing on stocks listed in Hong Kong, the fund taps into a segment of the Chinese market that is open to global investors, thus providing an avenue for international exposure to China's economic growth. The fund’s investment approach is tailored to capture the performance of these major companies, which are often significant contributors to the Chinese economy.
As a non-diversified fund, the iShares China Large-Cap ETF may have a concentrated portfolio, which means it could hold a smaller number of securities compared to more broadly diversified funds. This concentrated investment approach is designed to provide focused exposure to large-cap Chinese companies, potentially offering higher returns linked to the performance of these significant market players. The ETF’s strategy is aligned with its goal of tracking the performance of the largest and most influential firms in the Chinese equity market.
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