A look into how funds that track major indexes could be investing in companies with controversial links in China.
An electronic screen in Shanghai displaying the Shanghai Composite Index, the Shenzhen Component Index and the Hang Seng Index, December 5, 2023. Credit: VCP via AP Images
As the U.S. government mulls restrictions on outbound investment into China, a particular area of controversy is financial products through which millions of ordinary investors funnel billions of dollars into the country — index tracker funds.
Such funds enable those who put money into them to track the fortunes of a particular index, like the S&P 500. The funds do this by investing their assets into the companies in proportion to the weighting that each stock has in that index.
Data
Exclusive longform investigative journalism, Q&As, news and analysis, and data on Chinese business elites and corporations. We publish China scoops you won't find anywhere else.
A weekly curated reading list on China from David Barboza, Pulitzer Prize-winning former Shanghai correspondent for The New York Times.
A daily roundup of China finance, business and economics headlines.
We offer discounts for groups, institutions and students. Go to our Subscriptions page for details.
Can a central bank digital currency work? China was the first major economy to launch one and, despite several setbacks, is starting to see the digital yuan take off.
The journalist-turned-lawmaker talks about her book on four women coming of age in modern China, the end of optimism for the younger generations, and being the first Chinese-born British MP.
September 17th: Strategies for Identifying Military End Users