FLCH vs JCHI

FLCHAFranklin FTSE China ETF

JCHIBJPMorgan Active China ETF Active China ETF

In short

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.

JCHI Most China ETFs just rent an index. JCHI picks instead: about 50 Chinese stocks chosen bottom up by J.P. Morgan's team, with MSCI China All Shares as the yardstick rather than the shopping list.

Stated mandate

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

JCHI The fund seeks long-term capital appreciation by investing primarily in equity securities economically tied to China.

Why people hold it

• 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

• JCHI Active by design: roughly 50 holdings chosen through bottom-up stock selection, benchmarked to MSCI China All Shares instead of mirroring it.
• Active management for 0.65%, no fee waiver in the mix, which sits near the category median and just above index trackers MCHI and GXC at 0.59%.
• The portfolio lines up closely with the stated job: long-term capital appreciation from equities economically tied to China, in a plain 1940 Act fund wrapper.

Worth knowing

• 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.

• JCHI Launched in 2023 and still small and thinly traded, so spreads can run wider than the category's giants.
• Concentration cuts both ways: about 50 names in a single country means Chinese policy, regulation and currency moves land hard.
• Stock picking costs more than plain beta here: FLCH tracks a broad China index for 0.19%, under a third of this fund's 0.65%.

Full FLCH profile⁠

Full JCHI profile⁠