Deutsche’s wealth arm launches second US-listed China ETF

07 May 2014   Category: News, Asia, China, Global   By Daniel Shane

Deutsche Asset & Wealth Management (DeAWM), the asset management arm of Deutsche Bank AG, has launched the first US-based ETF that provides exposure to both onshore and offshore Chinese equities.

The New York Stock Exchange-listed db X-trackers Harvest MSCI All China Equity Fund offers US investors access to mainland China securities including A-shares, in addition to H-shares in Hong Kong and other Chinese securities in the US and Singapore.

The ETF, which launched on the last trading day of April, tracks the MSCI All China Index, which has 612 constituents and captures large and mid cap Chinese securities.

“The launch of db X-trackers Harvest MSCI All China Equity Fund now provides investors with the most comprehensive exposure to China by investing across the spectrum of Chinese securities. This innovative product showcases Deutsche Bank’s ability to build upon our recent successes while leveraging our unique global capabilities,” said Fiona Bassett, head of DeAWM’s passive business in the Americas.

The ETF’s top holdings include Tencent, China Mobile, China Construction Bank, Industrial and Commercial Bank of China, Baidu and Bank of China.

The ETF is the second from DeAWM to provide US investors access to Chinese securities. Its db X-trackers Harvest CSI 300 China A-shares Fund, launched in November last year, provides investors with direct exposure to A-shares in the Mainland.

DeAWM’s global ETF platform had AUM of US$63 billion as of December 31 last year, according to the firm.