Important Information
Investors should not base investment decisions on this website alone. Please refer to the Prospectus for details including the product features and the risk factors. Investment involves risks. There is no guarantee of the repayment of the principal. Investors should note:
- Global X China Consumer Brand ETF‘s (the “Fund’s”) investment in equity securities is subject to general market risks, whose value may fluctuate due to various factors, such as changes in investment sentiment, political and economic conditions and issuer-specific factors.
- The performance of companies in the consumer sector are correlated to the growth rate of the global market, individual income levels and their impact on levels of domestic consumer spending in the global markets, which in turn depend on the worldwide economic conditions, which have recently deteriorated significantly in many countries and regions and may remain depressed for the foreseeable future.
- China is an emerging market. The Fund invests in Chinese companies which may involve increased risks and special considerations not typically associated with investments in more developed markets, such as liquidity risk, currency risks, political risk, legal and taxation risks, and the likelihood of a high degree of volatility.
- The trading price of the Fund’s unit (the “Unit”) on the Stock Exchange of Hong Kong is driven by market factors such as demand and supply of the Unit. Therefore, the Units may trade at a substantial premium or discount to the Fund’s net asset value.
- Global X China Robotics and AI ETF‘s (the “Fund’s”) investment in equity securities is subject to general market risks, whose value may fluctuate due to various factors, such as changes in investment sentiment, political and economic conditions and issuer-specific factors.
- Robotics and artificial intelligence sector is sensitive to risks including small or limited markets for such securities, changes in business cycles, world economic growth, technological progress, rapid obsolescence, and government regulation. These companies rely on significant spending on research and development and tend to be more volatile than securities of companies that do not rely heavily on technology.
- China is an emerging market. The Fund invests in Chinese companies which may involve increased risks and special considerations not typically associated with investments in more developed markets, such as liquidity risk, currency risks, political risk, legal and taxation risks, and the likelihood of a high degree of volatility.
- The trading price of the Fund’s unit (the “Unit”) on the Stock Exchange of Hong Kong is driven by market factors such as demand and supply of the Unit. Therefore, the Units may trade at a substantial premium or discount to the Fund’s net asset value.
China Market Rally
Investor sentiment towards Chinese stocks has gradually improved since the beginning of the year, and many investment themes are showing signs of rebound. Recently, China’s February CPI data achieved positive growth, and with China’s National People Congress and the State Council’s policy support, further potential for growth in the consumer sector is being unlocked.
In fact, Global X ETFs’ series of China thematic ETFs have also witnessed some rebound since the beginning of the year. Global X China Consumer Brand ETF (2806), which focuses on the consumer sector, includes holdings such as Li Ning, whose stock price has recently surged*. Additionally, the Global X China Robotics and Artificial Intelligence ETF (2807), benefiting from the strong performance of global AI and semiconductor-related companies, has also shown significant rebound during this period.
Explore our ETFs and the risk factors: https://www.globalxetfs.com.hk/fundlist/
*Source: Mirae Asset, data as of 2 Feb 2024 to 11 Mar 2024.