Worst ETFs of the week: China ETFs

China’s “New Great Wall” on its Tech and Ed Sectors ripples through the economy

 The bloodbath continued last week for Chinese stocks as investors remain fearful from Beijing’s tight grip on its technology and education sectors. The latest crackdown on private education by the Chinese authorities shows that the country’s policy is focusing more on social factors, beyond economic and financial considerations.

Recently, an article published by Economic Information Daily, a Chinese state-run publication attacked major gaming Chinese companies by pointing out the negative impact games have on children. Although the article was later removed, the damage has already taken place, hammering Tencent, Net Ease and other Chinese gaming stocks by double digits.

No industry in China is safe: the Shanghai SE Composite, an index tracking the performance the performance of all companies listed on the Shanghai Stock Exchange dropped by more than 2.0% last week.

Hence, ETFs tracking Chinese stocks across different industries and sectors took a major hit, conquering our weekly top 10 worst performing ETFs list in Americas and Europe.

In Europe, the worst performer for the week was KraneShares CSI China Internet UCITS ETF with a negative return of -9.87%. The ETF includes large holdings of the Chinese state latest victims such as Alibaba (11.95%), Tencent Holding (11.38%) and JD.com (8.16%).

In Americas, the number one spot was claimed by Global X MSCI China Real Estate ETF, an ETF with a targeted play on the Real Estate Sector in China.

Bottom 10 ETFs of the Week: China ETFs

Europe

• KraneShares CSI China Internet UCITS: -9.87%
• Deka MSCI China ex A Shares UCITS: -9.71%
• Lyxor FTSE China A50 UCITS: -9.00%
• Xtrackers Harvest FTSE China A-H 50 UCITS: -8.49%
• iShares China Large Cap UCITS: -7.50%
• HSBC Hang Seng TECH UCITS: -7.39%
• UBS ETF Solactive China Technology UCITS: -7.26%
• FinEx China UCITS ETF: -7.02%
• Lyxor China Enterprise (HSCEI) UCITS: -6.97%
• iShares Dow Jones China Offshore 50 UCITS: -6.95%

 Americas

• Global X MSCI China Real Estate: -14.17%
• KraneShares CICC China Consumer Leaders Index: -9.94%
• Global X MSCI Consumer Staples: -9.70%
• KraneShares CSI China Internet: -9.16%
• KraneShares Hang Seng TECH Index: -8.22%
• PACER CSOP FTSE CHINA A50 ETF: -7.96%
• ProShares Online Retail: -7.26%
• ProShares Long Online/Short Stores: -7.00%
• Global X MSCI China Large-Cap 50: -6.73%
• Rayliant Quantamental China Equity: -6.37%

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