China has always been the growth leader among Asian economies. Since the start of 2013, economic indicators have shown that the growth in the world’s second largest economy has slowed down. But other reports show that the tide may turn sooner rather than later. In any case, China has always maintained an upward momentum. Investing in China is a good bet, especially given that it has performed much better in comparison with other Asian economies.
Below we will share with you 5 top rated China funds. Each has earned a Zacks #1 Rank (Strong Buy) as we expect the fund to outperform its peers in the future. To view the Zacks Rank and past performance of all China funds, investors can click here to see the complete list of funds.
Oberweis China Opportunities (OBCHX) invests a large share of its assets in Chinese companies whose market value are expected to grow over the long term. The fund may purchase equity linked certificates which provide exposure to foreign shares. The China mutual fund returned 42.11% in the last one year period.
The China mutual fund has a minimum initial investment of $1,000 and an expense ratio of 2.07% compared to a category average of 1.78%.
Fidelity Advisor China Region A (FHKAX) seeks long-term capital appreciation. The fund invests a lion’s share in companies based in Greater China. The fund invests a maximum of 35% of its assets in industries that account for over 20% of the Hong Kong, Taiwanese and Chinese market. The China mutual fund returned 19.95% in the last one year period.
As of February 2014, this fund held 85 issues with 9.82% of its total assets invested in Tencent Holdings.
Fidelity China Region (FHKCX) invests a large share of its assets in equity securities of companies whose principal operations occur in the Greater China Region. A maximum of 35% is invested in industries that account for over 20% of Hong Kong, Taiwanese, and Chinese market. The China mutual fund returned 20.37% over the last one year period.
The fund manager is Bobby Bao and has managed this China mutual fund since 2011.
John Hancock Greater China Opportunities A (JCOAX) seeks capital growth over long run. It invests a major portion of its assets in companies which have their presence in Greater China. The fund may invest a minimum of 5% of its assets in individual companies. A maximum of 20% of its assets may be invested in companies which are located outside China. The China mutual fund returned 16.47% over the last one year period.
The China mutual fund has a minimum initial investment of $1,000 and an expense ratio of 1.74% compared to a category average of 1.78%.
ProFunds UltraChina (UGPIX) seeks to return two times the daily performance of the Bank of New York Mellon China Select ADR Index. It invests the majority of its assets in securities which are similar to those included in this Index. The China mutual fund has a one year annualized return of 70.32%.
Alexander V. Ilyasov is the fund manager and has managed this fund since 2009.
To view the Zacks Rank and past performance of all China funds, investors can click here to see the complete list of funds.
About Zacks Mutual Fund Rank
By applying the Zacks Rank to mutual funds, investors can find funds that not only outpaced the market in the past but are also expected to outperform going forward. Learn more about the Zacks Mutual Fund Rank.
Read the analyst report on OBCHX
Read the analyst report on FHKAX
Read the analyst report on FHKCX
Read the analyst report on JCOAX
Read the analyst report on UGPIX
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