Under normal circumstances, the Matthews Emerging Markets Sustainable Future Active ETF seeks to achieve its investment objective by investing at least 80% of its net assets, which include borrowings for investment purposes, in the common and preferred stocks of companies of any market capitalization located in emerging market countries that satisfy one or more of the Fund’s environmental, social and governance (“ESG”) standards. Emerging market countries generally include every country in the world except the United States, Australia, Canada, Hong Kong, Israel, Japan, New Zealand, Singapore and most of the countries in Western Europe. Certain emerging market countries may also be classified as “frontier” market countries, which are a subset of emerging market countries with newer or even less developed economies and markets, such as Sri Lanka and Vietnam.
Risks
Investments in emerging and frontier securities may involve risks such as social and political instability, market illiquidity, exchange-rate fluctuations, a high level of volatility and limited regulation. Additionally, investing in emerging and frontier markets countries are substantially smaller, less liquid and more volatile than securities markets in more developed markets. Matthews Emerging Markets Sustainable Future Active ETF’s consideration of ESG factors in making its investment decisions may impact the Fund’s relative investment performance positively or negatively.
These and other risks associated with investing in the Fund can be found in the
prospectus.
Emerging Markets - Countries generally include every country in the world except the United States, Australia, Canada, Hong Kong, Israel, Japan, New Zealand, Singapore and most of the countries in Western Europe
Fees & Expenses
Gross Expense Ratio
0.79%
Objective
Long-term capital appreciation
Strategy
Under normal circumstances, the Matthews Emerging Markets Sustainable Future Active ETF seeks to achieve its investment objective by investing at least 80% of its net assets, which include borrowings for investment purposes, in the common and preferred stocks of companies of any market capitalization located in emerging market countries that satisfy one or more of the Fund’s environmental, social and governance (“ESG”) standards. Emerging market countries generally include every country in the world except the United States, Australia, Canada, Hong Kong, Israel, Japan, New Zealand, Singapore and most of the countries in Western Europe. Certain emerging market countries may also be classified as “frontier” market countries, which are a subset of emerging market countries with newer or even less developed economies and markets, such as Sri Lanka and Vietnam.
Risks
Investments in emerging and frontier securities may involve risks such as social and political instability, market illiquidity, exchange-rate fluctuations, a high level of volatility and limited regulation. Additionally, investing in emerging and frontier markets countries are substantially smaller, less liquid and more volatile than securities markets in more developed markets. Matthews Emerging Markets Sustainable Future Active ETF’s consideration of ESG factors in making its investment decisions may impact the Fund’s relative investment performance positively or negatively.
The risks associated with investing in the Fund can be found in the prospectus
NAV & Market Price
(as of 10/29/2024)
NAV
$27.34
NAV Change
-0.18
Market Price
$27.42
Market Price Change
-0.20
Day's Trading Volume
1,106 Shares
Median BID/ASK Spread (30 Day)
0.37% (as of 10/29/2024)
Premium Discount
+0.29%
Number of days at Premium/Discount
2024
2023
Q4
Q3
Q2
Q1
Premium
19
51
56
58
63
Discount
2
11
4
3
6
The NAV of an ETF represents the value of all the securities held by the ETF such as shares or bonds and cash minus any liabilities such as Total Expense Ratio (TER), and divided by the number of shares outstanding. An ETF’s market price is the price at which investors can buy or sell an ETF on an exchange. This price may deviate from the NAV of the ETF depending on demand for and supply for the ETF at a point in time.
The Premium/Discount chart shows the difference between the daily market price of the Fund’s shares and the Fund’s net asset value (“NAV”). The daily market price is calculated using the mid-point between the highest bid and the lowest offer on the listing exchange, as of the time that the Fund’s NAV is calculated (usually 4:00 pm Eastern time). The vertical axis of the chart shows the premium or discount of the Mid-Point price as a percentage of the NAV. The horizontal axis shows the number of trading days covered by the chart, and each bar in the chart demonstrates how many days the Fund traded within the given premium/discount range. The data presented in the chart and table above represent past performance and cannot be used to predict future results.
ETFs may trade at a premium or discount to NAV. Shares of any ETF are bought and sold at market prices (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.
Performance
Monthly
Quarterly
As of 09/30/2024
Average Annual Total Returns
Name
1MO
3MO
YTD
1YR
3YR
5YR
10YR
Since Inception
Inception Date
Matthews Emerging Markets Sustainable Future Active ETF - EMSF
09/21/2023
NAV
9.14%
9.69%
10.37%
12.77%
n.a.
n.a.
n.a.
13.32%
Market Price
8.15%
9.03%
9.58%
11.99%
n.a.
n.a.
n.a.
12.73%
MSCI Emerging Markets Index
6.72%
8.88%
17.24%
26.54%
n.a.
n.a.
n.a.
25.46%
As of 09/30/2024
Average Annual Total Returns
Name
1MO
3MO
YTD
1YR
3YR
5YR
10YR
Since Inception
Inception Date
Matthews Emerging Markets Sustainable Future Active ETF - EMSF
09/21/2023
NAV
9.14%
9.69%
10.37%
12.77%
n.a.
n.a.
n.a.
13.32%
Market Price
8.15%
9.03%
9.58%
11.99%
n.a.
n.a.
n.a.
12.73%
MSCI Emerging Markets Index
6.72%
8.88%
17.24%
26.54%
n.a.
n.a.
n.a.
25.46%
Source: BNY Mellon Investment Servicing (US) Inc. All performance is in US$.
Year to Date and Since Inception performance with less than one year of history represents actual performance, not annualized.
Assumes reinvestment of all dividends and/or distributions before taxes. All performance quoted represents past performance and is no guarantee of future results.Investment return and principal value will fluctuate with market conditions so that when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the return figures quoted. Returns would have been lower if certain of the Fund’s fees and expenses had not been waived.
Net asset value (“NAV”) returns are based on the dollar value of a single share of the ETF, calculated using the value of the underlying assets of the ETF minus its liabilities, divided by the number of shares outstanding. The NAV is typically calculated at 4:00 pm Eastern time on each business day the New York Stock Exchange is open for trading. Market returns are based on the trade price at which shares are bought and sold on the NYSE Arca, Inc. using the last share trade. Market performance does not represent the returns you would receive if you traded shares at other times. Total Return reflects the reinvestment of distributions on ex-date for NAV returns and payment date for Market Price returns. The market price of the ETF’s shares may differ significantly from their NAV during periods of market volatility.
Top 10 Holdings
(as of 10/31/2024)
Ticker
Name
SEDOL
Market Value
Shares
% Net Assets
3690
MEITUAN DIANPING CLASS B
BGJW376
$2,014,840
84,800
7.4
BANDHAN
BANDHAN BANK, LTD.
BG1SV45
$1,577,846
747,255
5.8
YMM
FULL TRUCK ALLIANCE -SPN
BMD2L36
$1,463,233
162,401
5.4
SHFL
SHRIRAM TRANSPORT FINANCE CO., LTD.
6802608
$1,215,273
32,076
4.5
388
HONG KONG EXCHANGES & CLEARING, LTD.
6267359
$1,205,982
30,300
4.5
6618
JD HEALTH INTERNATIONAL I
BMW8R04
$1,192,101
326,300
4.4
LEGN
LEGEND BIOTECH CORP-ADR
BMX9K07
$1,051,678
23,756
3.9
INDUSTO
BHARTI INFRATEL, LTD.
B92P9G4
$742,931
182,262
2.7
1590
AIRTAC INTERNATIONAL GROUP
B52J816
$697,566
25,000
2.6
MU
MICRON TECHNOLOGY, INC.
2588184
$691,820
6,647
2.6
006400
SAMSUNG SDI CO., LTD.
6771645
$638,905
2,605
2.4
INPST
INPOST SA
BN4N9C0
$633,757
32,231
2.3
MM
MAHINDRA & MAHINDRA, LTD.
6100186
$625,320
19,419
2.3
INXW
INOX WIND LTD
BWFGTS7
$616,922
236,957
2.3
TADAWUL
SAUDI TADAWUL GROUP HOLDI
BMZQ749
$616,473
9,639
2.3
6865
FLAT GLASS GROUP CO LTD-H
BYQ9774
$596,185
299,000
2.2
YDUQ3
YDUQS PARTICIPACOES SA
BJGV3C2
$530,812
282,700
2.0
2383
ELITE MATERIAL CO., LTD.
6316121
$510,627
39,000
1.9
PHNX
PHOENIX MILLS LTD
B0SXY97
$496,412
26,648
1.8
300750
CONTEMPORARY AMPEREX TECHNOLOGY CO., LTD. A SHARES
BHQPSY7
$490,339
14,100
1.8
6533
ANDES TECHNOLOGY CORP
BWT3K58
$483,240
39,000
1.8
B3SA3
B3 SA-BRASIL BOLSA BALCAO
BG36ZK1
$454,631
243,700
1.7
BBRI
PT BANK RAKYAT INDONESIA PERSERO
6709099
$443,241
1,477,000
1.6
TLV
BANCA TRANSILVANIA SA
5393307
$431,011
70,999
1.6
MRCO
MARICO, LTD.
B1S34K5
$416,084
53,731
1.5
084370
EUGENE TECHNOLOGY CO., LTD.
B0TBHH9
$361,923
13,993
1.3
NU
NU HOLDINGS LTD/CAYMAN IS
BN6NP19
$357,574
22,732
1.3
LRCX
LAM RESEARCH CORP
BSML4N7
$337,145
4,410
1.2
336370
SOLUS ADVANCED MATERIALS
BJVLVG7
$327,461
38,035
1.2
2192
MEDLIVE TECHNOLOGY CO LTD
BN7RMD1
$317,864
289,000
1.2
300763
GINLONG TECHNOLOGIES CO L
BMQBTQ9
$317,318
31,600
1.2
6415
SILERGY CORP.
BH4DMW9
$315,855
20,000
1.2
5904
POYA INTERNATIONAL CO., LTD.
6541826
$315,549
20,180
1.2
JMT
JERONIMO MARTINS
B1Y1SQ7
$306,197
17,072
1.1
ZH
ZHIHU INC - ADR
BQSB1R0
$302,560
84,514
1.1
300012
CENTRE TESTING INTERNATIONAL GROUP CO., LTD. A SHARES
Sector data based on MSCI’s revised Global Industry Classification Standards. For more details, visit www.msci.com.
Country
Fund
Benchmark
Difference
China/Hong Kong
43.2
27.9
15.3
India
24.2
19.5
4.7
Taiwan
8.9
17.5
-8.6
South Korea
6.6
10.4
-3.8
Brazil
4.5
4.8
-0.3
Poland
3.3
0.9
2.4
United States
2.4
0.0
2.4
Saudi Arabia
2.1
3.8
-1.7
Indonesia
1.7
1.6
0.1
Romania
1.5
0.0
1.5
Jordan
1.1
0.0
1.1
Philippines
0.6
0.6
0.0
Chile
0.6
0.4
0.2
Turkey
0.3
0.6
-0.3
Vietnam
0.1
0.0
0.1
South Africa
0.0
3.1
-3.1
Mexico
0.0
1.9
-1.9
Malaysia
0.0
1.5
-1.5
Thailand
0.0
1.5
-1.5
United Arab Emirates
0.0
1.2
-1.2
Qatar
0.0
0.8
-0.8
Kuwait
0.0
0.7
-0.7
Greece
0.0
0.5
-0.5
Peru
0.0
0.3
-0.3
Hungary
0.0
0.2
-0.2
Colombia
0.0
0.1
-0.1
Czech Republic
0.0
0.1
-0.1
Egypt
0.0
0.1
-0.1
Liabilities in Excess of Cash and Other Assets
-1.0
0.0
-1.0
Not all countries are included in the benchmark index(es).
Equity market cap of issuer
Fund
Benchmark
Difference
Mega Cap (over $25B)
25.4
59.1
-33.7
Large Cap ($10B-$25B)
23.3
22.6
0.7
Mid Cap ($3B-$10B)
37.6
17.8
19.8
Small Cap (under $3B)
14.7
0.4
14.3
Liabilities in Excess of Cash and Other Assets
-1.0
0.0
-1.0
Source: FactSet Research Systems.
Percentage values in data are rounded to the nearest tenth of one percent, so the values may not sum to 100% due to rounding. Percentage values may be derived from different data sources and may not be consistent with other Fund literature.
Portfolio Characteristics
(as of 09/30/2024)
Fund
Benchmark
Number of Positions
51
1,277
Weighted Average Market Cap
$36.5 billion
$158.8 billion
Active Share
96.5
n.a.
P/E using FY1 estimates
18.0x
13.3x
P/E using FY2 estimates
15.2x
11.9x
Price/Cash Flow
12.2
8.7
Price/Book
2.8
1.9
Return On Equity
12.5
15.9
EPS Growth (3 Yr)
23.5%
17.4%
Sources: Factset Research Systems, Inc.
Distributions
Ex Date
Record Date
Pay Date
Reinvest Date
Ordinary Income
Short Term Capital Gains
Long Term Capital Gains
Total Distributions Per Share
% of NAV
12/14/2023
12/15/2023
12/21/2023
12/14/2023
$0.00566
$0.00000
$0.00000
$0.00566
0.0%
There is no guarantee that the Fund will pay or continue to pay distributions.
Past performance is no guarantee of future results. Investment return and principal value will fluctuate with changing market conditions so that shares, when redeemed, may be worth more or less than their original cost.
Vivek Tanneeru is a Portfolio Manager at Matthews and manages the firm’s Emerging Markets Sustainable Future, Emerging Markets Small Companies, Emerging Markets Discovery, Asia Discovery and Asia Sustainable Future Strategies. Prior to joining Matthews in 2011, Vivek was an Investment Manager on the Global Emerging Markets team of Pictet Asset Management in London. While at Pictet, he also worked on the firm’s Global Equities team, managing Japan and Asia ex-Japan markets. Before earning his MBA from the London Business School in 2006, Vivek was a Business Systems Officer at The World Bank and served as a Consultant at Arthur Andersen Business Consulting and Citicorp Infotech Industries. He interned at Generation Investment Management while studying for his MBA Vivek received his Master’s in Finance from the Birla Institute of Technology & Science in India. He is fluent in Hindi and Telugu.
Inbok Song is a Portfolio Manager at Matthews and manages the firm’s Pacific Tiger and Asia ex Japan Total Return Equity Strategies and co-manages the Emerging Markets Sustainable Future and Asia Innovators Strategies. Prior to rejoining Matthews in 2019, Inbok spent three years at Seafarer Capital Partners as a portfolio manager, the firm’s Director of Research and chief data scientist. Previously she was at Thornburg Investment Management as an associate portfolio manager. From 2007 to 2015, she was at Matthews, most recently as a portfolio manager. From 2005 to 2006, Inbok served as an Analyst and Technology Specialist at T. Stone Corp., a private equity firm in Seoul, South Korea. From 2004 to 2005, she was a research engineer for Samsung SDI in Seoul. Inbok received both a B.A. and Masters in Materials Science and Engineering from Seoul National University. She received a Masters in International Management from the University of London, King’s College, and also an M.A. in Management Science and Engineering, with a concentration in finance from Stanford University. Inbok is fluent in Korean.
Alex Zarechnak is a Portfolio Manager at Matthews and manages the firm’s Emerging Markets Equity and Emerging Markets ex China Strategies and co-manages the Emerging Markets Small Companies, Emerging Markets Discovery, and Emerging Markets Sustainable Future Strategies. Prior to joining the firm in 2020, he spent a total of 15 years (1998 – 2006 and 2012 – 2019) at Wellington Management as an analyst for the firm’s flagship Emerging Markets Equity fund as a generalist first covering CEEMEA, then Latin America. From 2006-2012, he was a regional equity analyst at Capital Group, covering Emerging Markets with a focus on energy, telecoms and consumer sectors in Latin America and CEEMEA. Alex began his Emerging Markets career as a Russia equity analyst with Templeton Emerging Markets, based in Moscow. He earned a B.A. in Economics and Government from the College of William & Mary. Alex is fluent in Russian.
The MSCI All Country Asia ex Japan Index is a free float–adjusted market capitalization–weighted index of the stock markets of China, Hong Kong, India, Indonesia, Malaysia, Pakistan, Philippines, Singapore, South Korea, Taiwan and Thailand.
The MSCI All Country Asia Pacific Index is a free float–adjusted market capitalization–weighted index of the stock markets of Australia, China, Hong Kong, India, Indonesia, Japan, Malaysia, New Zealand, Pakistan, Philippines, Singapore, South Korea, Taiwan and Thailand.
The MSCI China Index is a free float-adjusted market capitalization-weighted index of Chinese equities that includes H shares listed on the Hong Kong exchange, B shares listed on the Shanghai and Shenzhen exchanges, Hong Kong-listed securities known as Red chips (issued by entities owned by national or local governments in China) and P Chips (issued by companies controlled by individuals in China and deriving substantial revenues in China) and foreign listings (e.g. ADRs).
The MSCI China All Shares Index captures large and mid-cap representation across China A shares, B shares, H shares, Red chips (issued by entities owned by national or local governments in China), P chips (issued by companies controlled by individuals in China and deriving substantial revenues in China), and foreign listings (e.g. ADRs). The index aims to reflect the opportunity set of China share classes listed in Hong Kong,Shanghai, Shenzhen and outside of China.
The MSCI Emerging Markets (EM) Asia Index is a free float-adjusted market capitalization weighted index of the stock markets of China, India, Indonesia, Malaysia, Pakistan, Philippines, South Korea, Taiwan and Thailand. The MSCI Emerging Markets Index is a free float-adjusted market capitalization-weighted index of the stock markets of Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Malaysia, Mexico, Pakistan, Peru, Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, South Korea, Taiwan, Thailand, Turkey and United Arab Emirates.
The MSCI Emerging Markets Index is a free float-adjusted market capitalization-weighted index of the stock markets of Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Malaysia, Mexico, Pakistan, Peru, Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, South Korea, Taiwan, Thailand, Turkey and United Arab Emirates.
The MSCI Emerging Markets ex China Index is a free float-adjusted market capitalization-weighted index that captures large and mid cap representation across 23 of the 24 Emerging Markets (EM) countries excluding China: Brazil, Chile, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Kuwait, Malaysia, Mexico, Peru, Philippines, Poland, Qatar, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates.
The MSCI Emerging Markets Small Cap Index is a free float-adjusted market capitalization weighted small cap index of the stock markets of Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungry, India, Indonesia, Kuwait, Malaysia, Mexico, Pakistan, Peru, Philippines, Poland, Qatar, Russia, Saudi Arabia, South Africa, South Korea, Taiwan Thailand, Turkey and United Arab Emirates.
The S&P Bombay Stock Exchange 100 (S&P BSE 100) Index is a free float–adjusted market capitalization–weighted index of 100 stocks listed on the Bombay Stock Exchange.
The MSCI Japan Index is a free float–adjusted market capitalization–weighted index of Japanese equities listed in Japan.
The Korea Composite Stock Price Index (KOSPI) is a market capitalization–weighted index of all common stocks listed on the Korea Stock Exchange.
The MSCI All Country Asia ex Japan Small Cap Index is a free float–adjusted market capitalization–weighted small cap index of the stock markets of China, Hong Kong, India, Indonesia, Malaysia, Pakistan, Philippines, Singapore, South Korea, Taiwan and Thailand.
The MSCI China Small Cap Index is a free float-adjusted market capitalization-weighted small cap index of the Chinese equity securities markets, including H shares listed on the Hong Kong exchange, B shares listed on the Shanghai and Shenzhen exchanges,Hong Kong-listed securities known as Red Chips (issued by entities owned by national or local governments in China) and P Chips (issued by companies controlled by individuals in China and deriving substantial revenues in China), and foreign listings (e.g., ADRs).
The MSCI India Index is a free float-adjusted market capitalization-weighted index of Indian equities listed in India.
The MSCI Korea Index is a free float-adjusted market capitalization-weighted index of Korean equities listed in Korea.
The MSCI Korea 25/50 Index is designed to measure the performance of the large and mid cap segments of the Korean market. It applies certain investment limits that are imposed on regulated investment companies, or RICs, under the current US Internal Revenue Code.
Indexes are for comparative purposes only and it is not possible to invest directly in an index.
The information contained herein has been derived from sources believed to be reliable and accurate at the time of compilation, but no representation or warranty (express or implied) is made as to the accuracy or completeness of any of this information. Neither the funds nor the Investment Advisor accept any liability for losses either direct or consequential caused by the use of this information.