iShares MSCI China ETF
MCHI InternationalUpdated: Jul 5, 2026, 21:17 UTC
Key Metrics
Top 10 Holdings
| Holding | Ticker | Weight | Bar |
|---|---|---|---|
| Tencent Holdings Ltd | 0700.HK | 13.12% | |
| Alibaba Group Holding Ltd Ordinary Shares | 9988.HK | 10.09% | |
| China Construction Bank Corp Class H | 00939 | 3.58% | |
| Xiaomi Corp Class B | 1810.HK | 2.4% | |
| Industrial And Commercial Bank Of China Ltd Class H | 01398 | 2.15% | |
| Ping An Insurance (Group) Co. of China Ltd Class H | 02318 | 1.96% | |
| PDD Holdings Inc ADR | PDD | 1.88% | |
| Meituan Class B | 3690.HK | 1.84% | |
| Bank Of China Ltd Class H | 03988 | 1.74% | |
| NetEase Inc Ordinary Shares | 9999.HK | 1.7% |
Sector Allocation
About This ETF
The iShares MSCI China ETF (MCHI) is a International ETF with an expense ratio (TER) of 0.59% and $6.3B in assets under management., with its largest holdings being Tencent Holdings Ltd, Alibaba Group Holding Ltd Ordinary Shares, China Construction Bank Corp Class H. The ETF currently yields 2.3% in dividends. Year-to-date, MCHI has returned -17.66%.
The fund generally will invest at least 80% of its assets in the component securities of the underlying index and in investments that have economic characteristics that are substantially identical to the component securities of the underlying index. The index is a free float-adjusted market capitalization-weighted index that is designed to measure the performance of equity securities in the top 85% in market capitalization of the Chinese equity securities markets, as represented by the H-shares and B-shares markets. The fund is non-diversified.
FAQ — MCHI
What is the TER of MCHI (iShares MSCI China ETF)?
MCHI has a Total Expense Ratio (TER) of 0.59 % per year. That sits above the international category median (0.32 % across 13 peer ETFs). The TER is deducted directly from the fund and lowers your effective return.
What return has MCHI delivered?
Performance for MCHI: YTD: -17.66 % · 3-year p.a.: +6.52 % · 5-year p.a.: -6.67 %. Over 5 years, MCHI underperforms the international category median of +8.56 % by -15.23 pp. Past performance is no guarantee of future returns.
What are the top holdings of MCHI?
The five largest positions in MCHI are: 0700.HK, 9988.HK, 00939, 1810.HK, 01398. The full holdings list is updated daily on this page.
Does MCHI pay dividends?
MCHI has a current dividend yield of 2.30 %. Distributing ETFs pay this out in cash; accumulating versions reinvest it inside the fund. Check the share class on your broker before buying.
Where can I buy or set up a savings plan for MCHI?
MCHI is available at most major brokers. For a free monthly savings plan from €1, look at Trade Republic, Scalable Capital or Flatex. The broker comparison on this site shows fees, free-savings-plan ETFs and execution exchanges side by side.
iShares MSCI China ETF (MCHI) at a Glance
The iShares MSCI China ETF packages the largest Chinese companies from the H-share and B-share markets into a single holding, managing roughly $6.7 billion in assets. Heavyweights such as Tencent, Alibaba and PDD dominate a portfolio that targets the upper market-capitalisation segment of China. For investors, MCHI offers a concentrated, focused gateway to the world's second-largest economy – carrying all the opportunities and risks that come with single-country exposure to an emerging market.
Performance and Drivers
MCHI's returns reflect the pronounced volatility of Chinese equities. Over three years the fund is up roughly 10.4 %, while the five-year record is negative at about −5.5 % and the current year has been weak at around −11.7 %. The price sits near $55, close to its 52-week low of $52.53 and well below the high of $67.37.
Key drivers include Beijing's regulatory actions, the property sector, stimulus measures and sentiment toward internet and consumer names. The distribution yield stands at roughly 2.2 %.
Risk Profile
MCHI is a non-diversified single-country fund with significant concentration risk: Tencent and Alibaba together exceed 24 %. The largest sector weights are consumer cyclical (26.4 %), financial services (19.1 %) and communication services (18.8 %).
- Policy and regulatory risk: state intervention, geopolitics and listing risks.
- Currency risk: the fund trades in US dollars while its holdings are denominated in renminbi and Hong Kong dollars. For euro-area investors this adds two layers of exchange-rate exposure that can amplify return swings.
- Market risk: high volatility and potential liquidity constraints.
Who Is MCHI For?
MCHI suits experienced, long-horizon investors who want a deliberate tactical or strategic China allocation as a satellite within a broadly diversified portfolio. Those convinced of a recovery in Chinese internet and consumer names, and able to tolerate sharp short-term drawdowns, gain a cost-efficient, tradable entry point.
The fund is not appropriate as a core holding or for safety-focused investors with a short time frame. Anyone seeking broad emerging-market diversification is better served by a global emerging-markets ETF. The pronounced concentration, currency and policy risks call for a conscious, clearly capped position size.
How It Compares to Peers
Unlike broad international building blocks, MCHI offers pure China exposure. Three real alternatives illustrate the spectrum:
- VWO & IEMG: broad emerging-markets ETFs in which China is only one component – far more diversified and less volatile than MCHI.
- VXUS: a global ex-US equity ETF combining developed and emerging markets that heavily dilutes China.
With an expense ratio of 0.59 %, MCHI costs more than these broad-market products. The premium only makes sense when a targeted, overweight China exposure is explicitly desired.
Where can I buy MCHI?
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