CNQQ vs FLCH

CNQQDRayliant-ChinaAMC Transformative China Tech ETF

FLCHAFranklin FTSE China ETF

In short

CNQQ A thematic slice of China tech instead of the whole market: CNQQ tracks a Solactive index built with ChinaAMC around companies driving China's tech transformation, across mainland China and Hong Kong.

FLCH Cheap and wide, in the best way. FLCH holds roughly a thousand Chinese stocks and charges 0.19% a year, a fraction of what most single-country China funds ask. Whole market, small toll.

Stated mandate

CNQQ The Fund seeks to track, before fees and expenses, the Solactive ChinaAMC Transformative China Tech Index.

FLCH The Fund seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE China RIC Capped Index.

Why people hold it

• CNQQ Not another all-of-China index fund. It follows the Solactive ChinaAMC Transformative China Tech Index, a rules-based screen pointed at China's tech transformers.
• Passive by design: the index picks the holdings, not a manager's conviction, so the rulebook you own is published rather than discretionary.
• A US-listed 1940 Act fund giving mainland China and Hong Kong equity exposure in dollars, with distributions paid quarterly.

• FLCH 0.19% a year, against a roughly 0.70% median for China funds. It also undercuts the category stalwarts MCHI and GXC, both at 0.59%.
• About 1,000 holdings, so you own the long tail of Chinese listings rather than a short list of mega-cap headline names.
• One job, done tightly: mirror the FTSE China RIC Capped Index before fees. On tracking it ranks among the strongest builds in its China peer group.sec.gov

Worth knowing

• CNQQ At 0.75%, it sits above the median fee for China single-country funds. Broad alternatives cost far less: FLCH at 0.19%, JCHI at 0.15%.
• A small, lightly traded fund, so spreads and premiums or discounts can run wider than at the category's household names.
• It launched in September 2025, so the record of how closely it hugs its index is still short, and a concentrated tech theme moves harder than broad China exposure.

• FLCH It is China or nothing. Policy shifts, regulatory news and the currency drive the ride, with no other market in the basket to cushion it.
• Mid-sized and only moderately traded next to the category's giants, so bid-ask spreads can bite more on larger orders.
• Cash comes once or twice a year, not monthly. This is an equity index vehicle, not an income schedule.

Full CNQQ profile⁠

Full FLCH profile⁠