{"id":862189,"date":"2026-09-27T06:52:17","date_gmt":"2026-09-27T06:52:17","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/862189\/"},"modified":"2026-09-27T06:52:17","modified_gmt":"2026-09-27T06:52:17","slug":"ai-portfolios-may-need-china-to-grab-the-biggest-gains","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/862189\/","title":{"rendered":"AI portfolios may need China to grab the biggest gains"},"content":{"rendered":"

\"Reassessing<\/p>\n

Investors looking to boost their exposure to artificial intelligence should target China, according to Matthews Asia portfolio manager Andrew Mattock.<\/p>\n

He said investors will need a more deliberate approach because broad emerging market strategies won’t be that effective. <\/p>\n

“Investors need to be aware when they buy an emerging market fund or when they buy a plain vanilla MSCI product\u2026 they’re not getting a lot of it,” Mattock told CNBC’s “ETF Edge”<\/a> this week. “The big piece that you are missing\u2026 is the Chinese piece.” <\/p>\n

He noted that companies from South Korea and Taiwan comprise almost half of the iShares MSCI Emerging Markets ETF (EEM)<\/a> while the iShares MSCI China ETF (MCHI)<\/a> lacks a focus on AI stocks.<\/p>\n

Mattock is behind the Matthews China Fund (MCHFX)<\/a>. The fund invests at least 80% of its net assets in the common and preferred stocks of companies located in China, according to the firm’s website. <\/p>\n

The fund is off 4% so far this year, as of Friday’s close. Its largest holdings include Tencent<\/a> and Alibaba<\/a>. <\/p>\n

Flashback to Tepper’s buy ‘everything’ in China call <\/p>\n

It appears investing in China is seeing a meaningful shift.<\/p>\n

Billionaire hedge fund manager David Tepper, founder of Appaloosa Management, found the world’s second economy attractive again \u2013 telling CNBC in September 2024 that he bought more of “everything”<\/a> related to China. <\/p>\n

However, KraneShares’ Brendan Ahern recommended that investors consider strategies that could protect them from wild market swings in China.<\/p>\n

“I like the idea of utilizing options around some of those ETFs\u2026 like with KWEB<\/a> [KraneShares CSI China Internet ETF],” the firm’s chief investment officer said in the same interview. <\/p>\n

“Why do some of these hedge funds gravitate to these ETFs? Because they’re able to write a call and principally protect themselves,” he added. “Give themselves some downside.”<\/p>\n

According to FactSet, the KraneShares CSI China Internet ETF has the same top two holdings as the Matthews China Fund: Tencent and Alibaba. But as of Friday’s close, the fund is down more than 27% so far this year.<\/p>\n","protected":false},"excerpt":{"rendered":"Investors looking to boost their exposure to artificial intelligence should target China, according to Matthews Asia portfolio manager…\n","protected":false},"author":2,"featured_media":862190,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[182,121832,22913,181,507,343,449,1531,116,122,144,101,2477,1873,25070,363851,113,53926,116227,53924,112,363849,20112,27222,2405,1866,114,3998,74,363850,36821,200975,918,6132],"class_list":["post-862189","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-alibaba-group-holding-limited","tag-alibaba-group-holding-ltd","tag-artificial-intelligence","tag-artificialintelligence","tag-asia-news","tag-breaking-news-economy","tag-breaking-news-investing","tag-breaking-news-markets","tag-business-news","tag-china","tag-economy","tag-exchange-traded-funds","tag-generative-ai","tag-hedge-funds","tag-international-investing","tag-investment-strategy","tag-ishares-msci-china-etf","tag-ishares-msci-emerging-markets-etf","tag-kraneshares-csi-china-internet-etf","tag-markets","tag-matthews-china-fund-investor-class","tag-mutual-funds","tag-pdd-holdings-inc","tag-personal-investing","tag-south-korea","tag-stock-markets","tag-taiwan","tag-technology","tag-tencent-holdings-limited","tag-tencent-holdings-ltd","tag-tencent-music-entertainment-group","tag-wall-street","tag-xi-jinping"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/862189","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=862189"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/862189\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/862190"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=862189"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=862189"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=862189"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}