A look into how funds that track major indexes could be investing in companies with controversial links in China.
An electronic screen in Shanghai displaying the Shanghai Composite Index, the Shenzhen Component Index and the Hang Seng Index, December 5, 2023. Credit: VCP via AP Images
As the U.S. government mulls restrictions on outbound investment into China, a particular area of controversy is financial products through which millions of ordinary investors funnel billions of dollars into the country — index tracker funds.
Such funds enable those who put money into them to track the fortunes of a particular index, like the S&P 500. The funds do this by investing their assets into the companies in proportion to the weighting that each stock has in that index.
Data
Exclusive longform investigative journalism, Q&As, news and analysis, and data on Chinese business elites and corporations. We publish China scoops you won't find anywhere else.
A weekly curated reading list on China from Andrew Peaple.
A daily roundup of China finance, business and economics headlines.
We offer discounts for groups, institutions and students. Go to our Subscriptions page for details.
How did the late premier convince local governments to surrender fiscal revenues to Beijing? In an extract from his recent book, Authoritarian Markets, Adam Y. Liu explains how Zhu played his trump card — letting local governments set up their own banks.
The academic and former U.S. ambassador to Russia talks about the contrasts between Putin and Xi, and what Washington can do about their relationship with each other.
Corporate Risk Intelligence for National Security, Compliance & Due Diligence
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.
