Invesco Golden Dragon China ETF has underperformed with a volatile history and an annualized total return of only 4.7% since inception. PGJ is heavily concentrated in consumer discretionary stocks, making it highly sensitive to economic cycles and vulnerable during downturns. China's long-term structural challenges, including population decline, high household debt, and a housing market bubble burst, will likely hinder PGJ's future performance.
Chinese stocks appear undervalued and could offer diversification from US markets, which are currently priced for perfection. Valuations in China are much lower compared to the US, making it a contrarian buy, especially during periods of negative sentiment. Invesco Golden Dragon China ETF is holding mostly ADRs from technology companies, which comes with additional risks, which I am not comfortable with.
![]() PGJ In 2 months Estimated | Other | $0.21 Per Share |
![]() PGJ 1 weeks ago Paid | Other | $0.21 Per Share |
![]() PGJ 3 months ago Paid | Quarterly | $0.07 Per Share |
![]() PGJ 6 months ago Paid | Quarterly | $0.07 Per Share |
![]() PGJ 9 months ago Paid | Quarterly | $0.15 Per Share |
![]() PGJ 24 Jun 2024 Paid | Quarterly | $1.01 Per Share |
![]() PGJ In 2 months Estimated | Other | $0.21 Per Share |
![]() PGJ 1 weeks ago Paid | Other | $0.21 Per Share |
![]() PGJ 3 months ago Paid | Quarterly | $0.07 Per Share |
![]() PGJ 6 months ago Paid | Quarterly | $0.07 Per Share |
![]() PGJ 9 months ago Paid | Quarterly | $0.15 Per Share |
![]() PGJ 24 Jun 2024 Paid | Quarterly | $1.01 Per Share |
NASDAQ (NMS) Exchange | US Country |
The described company operates as an investment fund, dedicating a substantial portion, at least 90%, of its total assets towards securities that are part of its benchmark index. This underlying index is specifically designed to include securities from U.S. exchange-listed companies that either have their headquarters or are incorporated within the People's Republic of China. This fund sets itself apart by focusing almost exclusively on this niche sector, aiming to offer investors exposure to the Chinese market through U.S.-listed entities. It's important to note that this fund is characterized as non-diverse, implying a concentrated investment strategy in the selected index securities.
Securities Investment in U.S.-listed Chinese Companies: The main product offered by the fund involves investing in securities that are part of an underlying index comprised mostly of U.S. exchange-listed companies headquartered or incorporated in China. This offers a targeted investment avenue for those looking to tap into the growth potential of Chinese companies while mitigating risks associated with direct investment in foreign markets.
Non-diversified Fund Strategy: As a non-diversified fund, this service implies a focused investment strategy that might carry higher risks due to the concentration of assets in fewer securities. However, this approach can also offer higher rewards by targeting specific economic sectors or geographic regions, in this case, U.S.-listed companies that operate out of China.