BlackRock plans to launch its first China ETF this year
Citing two unnamed sources with direct knowledge of the matter, Reuters said the first BlackRock ETF product will be launched in the fourth quarter, adding 6.8 billion yuan ($1.07 billion) in assets managed by BlackRock to two mutual funds that are in Chinese. Invest and Hong Kong shares.
Several index providers have begun discussions with BlackRock, but fund management has yet to choose which index to track for the first ETF product. A source claimed that one of the options being considered is a carbon neutrality-themed index, created by China Securities Index Company.
Over the past two years, China has seen a number of new eco-friendly exchange-traded funds (ETFs), all of which bet on hot new-energy stocks.
“BlackRock is committed to helping more Chinese investors achieve their financial goals by bringing them a comprehensive suite of investment products and solutions, including ETF and index investments,” the company commented to Reuters.
BlackRock’s anticipated entry into the booming Chinese ETF market comes as the world’s second largest economy continues to open its financial markets.