Stock portfolios in the China region focus their investments on equities from China, Taiwan, and Hong Kong only. These portfolios are required to invest a minimum of 70% of the total assets into equities and out of the total stock assets, at least 75% must be allocated to one single region or a mix of China, Taiwan, and/or Hong Kong.
Top China Mutual Funds in 2025
Below are some top 3 mutual funds in China in 2025 (on Returns criteria).
1. Axis Greater China Equity Fund of Fund
Objective
The strategy intends to achieve capital appreciation by investing primarily in units of the Schroder International Selection Fund - Greater China which seeks to achieve capital growth through investment in equity and equity-linked instruments of the People's Republic of China, Hong Kong SAR, and Taiwan. The scheme may also invest some of its corpus in debt securities, money market instruments, and/or units of other schemes that are not tied up to meet liquidity requirements at different points in time.
|
Return or Risk |
Return Outperformance |
Exit Load |
|
Performing poorly in its category |
Over the past 12 months, this fund produced the highest returns when compared to other international funds. |
Any redemption above the 10% threshold will have an exit load charge of 1% if it occurs in the first year. |
Fund Details
|
Fund House |
Axis Mutual Fund |
|
Launch Date |
29 Jan 2021 |
|
Expense Ratio |
0.53% as of Jan 31, 2025 |
|
Benchmark |
MSCI Golden Dragon |
|
Min. Investment |
SIP- Rs.1000 and Lump- Rs.5000 |
|
Risk |
Very High |
|
1 Year Returns |
23.87% |
|
Short Term Capital Gains (STCG) |
20% if redeemed earlier than 12 months |
|
Long Term Capital Gains (LTCG) |
After 12 months, 12.5% tax on gains of Rs.1.25 lac + in a financial year |
Asset Allocation of Equity
|
Asset |
Percentage (%) |
|
Equity |
97.78% |
|
Debt |
2.85% |
|
Other |
-0.63% |
2. Edelweiss Greater China Equity Off-shore Fund Growth
Objective
The intention is to achieve sustained growth in value by dealing in the JP Morgan Funds - JF Greater China Equity Fund, which is an equity fund that mainly invests in a variety of companies incorporated, or having their registered office in, or which predominantly conducts their business in a country within the Greater China area.
|
Return or Risk |
Return Outperformance |
Exit Load |
|
The fund is performing poorly compared to its peers |
This fund, over the past year, has produced the highest return in the international category of funds. |
No load if redeemed after 90 days. An exit load of one percent if redeemed within 90 days. |
Fund Details
|
Fund House |
Edelweiss Mutual Fund |
|
Launch Date |
01 Jan 2013 |
|
Expense Ratio |
0.68% as of Jan 31, 2025 |
|
Benchmark |
MSCI Golden Dragon |
|
Min. Investment |
SIP- Rs.500 and Lump- Rs.5000 |
|
Risk |
Very High |
|
1 Year Returns |
28.92% |
|
Short Term Capital Gains (STCG) |
20% if redeemed earlier than 12 months |
|
Long Term Capital Gains (LTCG) |
After 12 months, 12.5% tax on gains of Rs.1.25 lac + in a financial year |
Asset Allocation of Equity
|
Asset |
Percentage (%) |
|
Equity |
98.45% |
|
Debt |
2.12% |
|
Other |
-0.57% |
3. Mirae Asset Hang Seng TECH ETF FoF Direct - Growth
Objective
The program primarily invests in Mirae Asset Hang Seng TECH ETF units to generate long-term financial appreciation.
|
Return or Risk |
Return Outperformance |
Exit Load |
|
The fund is underperforming in comparison to the peer group. |
This fund, along with Index funds, has performed the best among International Index funds over the last year. |
0.50% if redeemed within 3 months. |
Fund Details
|
Fund House |
Mirae Asset Mutual Fund |
|
Launch Date |
07 Nov 2021 |
|
Expense Ratio |
0.09% as of Jan 31, 2025 |
|
Benchmark |
Hang Seng TECH TRI |
|
Min. Investment |
Currently not buyable |
|
Risk |
Very High |
|
1 Year Returns |
94.78% |
|
Short Term Capital Gains (STCG) |
20% if redeemed earlier than 12 months |
|
Long Term Capital Gains (LTCG) |
After 12 months, 12.5% tax on gains of Rs.1.25 lac + in a financial year |
Asset Allocation of Equity
|
Asset |
Percentage (%) |
|
Equity |
99.41% |
|
Debt |
0% |
|
Other |
0.59% |
Conclusion
Investment in Chinese mutual funds is very beneficial and risky at the same time. In the previous year, Mirae Asset Hang Seng TECH ETF FoF had the highest returns. Edelweiss Greater China Equity and Axis Greater China Equity also performed well. Investors’ selection should depend on the individual risk appetite and investment targets.
Disclaimer
No buy or sell recommendation is given. No investment advice it is. This blog is only for information purposes. Always discuss with an eligible financial advisor before investing.
Faqs
-
Which Chinese mutual fund is best?
Some best Chinese mutual funds have been discussed above that have outperformed their index.
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How to invest in China ETF in India?
In India, investing in China ETFs can be done through an international trading account or through a mutual fund or ETF that focuses on China's market.
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Who regulates mutual funds in China?
The Ministry of Civil Affairs and the China Securities Regulatory Commission (CSRC) are in charge of overseeing, managing, and guiding the Asset Management Association of China-AMAC.
