Happy New Year! 'CHIQ' Captures the Rise, and Recent Fall, of the Chinese Consumer

The China Consumer Discretionary ETF (CHIQ) tracks large and midcap Chinese consumer discretionary companies, including major share classes and foreign listings. It holds about 50 names, with significant investments in Internet, auto manufacturing, retail, and commercial services sectors. Major holdings include Alibaba, jd.com, and Yum China. CHIQ has $120 million in assets and an expense ratio of 65 basis points. Despite a rough 2018, CHIQ has shown marginal growth since its 2009 launch and is rated positively by Bloomberg Intelligence.

What does the CHIQ ETF primarily track?

• Chinese financial institutions

• Global consumer discretionary companies

• Chinese technology companies

• Chinese consumer discretionary companies

Which of the following sectors is NOT a major focus of CHIQ?

• Retail

• Healthcare

• Auto manufacturing

• Internet

Which companies are the largest holdings in CHIQ?

• Tencent, Baidu, and Xiaomi

• Alibaba, JD.com, and Yum China

• Ping An, ICBC, and China Life

• Huawei, Lenovo, and ZTE

What is the expense ratio of CHIQ?

• 85 basis points

• 75 basis points

• 65 basis points

• 50 basis points

How did CHIQ perform in 2018?

• It remained stable

• It doubled in value

• It gained 30%

• It fell by around 30%