China’s state-directed buying binge has swollen the size of exchange-traded funds (ETFs) tracking the underlying benchmark CSI 300 Index, helping them outperform the market while boosting their asset-size ranking.
Some 76 per cent of the funds were invested in ETFs tracking the underlying CSI 300 Index, while the rest went into ETFs linked to CSI’s small-cap indices, UBS said after analysing daily data in 54 ETFs.