Future is bright for these Chinese ETFs

Article Excerpt

Chinese stocks are down roughly 14% since March 2012. That’s largely because slow growth in the U.S. and Europe is hurting China’s export-driven economy. Still, China’s growth rate could reach 8% this year, and its long-term outlook is positive. Here are two Chinese exchange traded fund (ETF) recommendations. One invests in all publicly traded Chinese stocks available to foreign investors. The other holds small cap Chinese stocks. SPDR S&P CHINA ETF $63.27 (New York Exchange symbol GXC; buy or sell through brokers; www.spdrs.com) is an exchange traded fund that aims to track the S&P China BMI Index, which is made up of all the publicly traded Chinese stocks that are available to foreign investors. Right now, SPDR S&P China ETF holds 184 stocks. The $783.8-million fund’s top holdings are China Mobile, 9.1%; China Construction Bank, 6.9%; Baidu, 5.1%; CNOOC, 4.8%; Industrial & Commercial Bank, 4.7%; Tencent Holdings, 4.5%; Petro- China, 4.0%; Bank of China, 3.6%; China Life Insurance, 3.2%; and China…