MCHS ETF — Holdings & Analysis

The Matthews China Discovery Active ETF (MCHS) is an actively managed fund that focuses on investing in small-cap companies located in China. Launched by Matthews Asia, the fund aims to achieve capital appreciation by strategically selecting stocks within this specific market segment. MCHS invests at least 65% of its net assets in the common and preferred stocks of small companies, with at least 80% of its net assets invested in companies located in China. This targeted approach allows the fund managers to focus on identifying and capitalizing on growth opportunities within the Chinese small-cap equity market. Past performance does not guarantee future results.

The expense ratio for the Matthews China Discovery Active ETF (MCHS) is 0.99%. This means that for every $10,000 invested in the fund, $99 is used to cover the fund's operating expenses. While this provides access to actively managed exposure to Chinese small-cap equities, it's important to note that this is higher than passively managed ETFs that track broad market indexes. the may be worth researching impact of this expense ratio on their overall returns, especially over longer investment horizons. Past performance does not guarantee future results.

As of 2026-03-15, the top holdings in the Matthews China Discovery Active ETF (MCHS) are: Yantai Jereh Oilfield Services Group Co Ltd Class A (6.33%), Wasion Holdings Ltd (4.99%), ACM Research Inc Class A (4.64%), Atour Lifestyle Holdings Ltd ADR (4.50%), and Kingboard Laminates Holdings Ltd (4.44%). These holdings represent a significant portion of the fund's assets and reflect the fund's investment strategy of focusing on specific companies within the Chinese small-cap market. The fund's performance is therefore closely tied to the performance of these key holdings. Past performance does not guarantee future results.

Whether MCHS is a suitable long-term investment depends on an individual investor's risk tolerance, investment goals, and time horizon. MCHS offers exposure to the potential growth of Chinese small-cap companies, but it also carries risks associated with its non-diversified status, sector concentration, and exposure to the Chinese market. The fund's expense ratio of 0.99% should also be considered, as it can impact long-term returns. Investors should carefully evaluate these factors and consider their own circumstances before making an investment decision. Past performance does not guarantee future results.

MCHS differentiates itself through its active management and focus on Chinese small-cap companies. Many China-focused ETFs are passively managed and track broad market indexes, while MCHS employs active stock selection. The expense ratio of 0.99% is relatively high compared to passively managed China ETFs, but may be justified if the active management delivers superior returns. The fund's AUM is currently $0.00B, which is relatively small compared to larger, more established China ETFs. these may be worth researching factors when comparing MCHS to other ETFs in the same category. Past performance does not guarantee future results.

As of 2026-03-15, the Matthews China Discovery Active ETF (MCHS) has a dividend yield of 0.00%. This indicates that the fund is not currently distributing any dividends to its shareholders. The fund's focus on growth-oriented small-cap companies may explain the lack of dividend payments, as these companies typically reinvest their earnings back into the business for further growth rather than distributing them as dividends. Investors seeking income may want to consider other ETFs with a higher dividend yield. Past performance does not guarantee future results.