ETF · Broad Market

MCHI(MCHI)

$57.19
+3.23%
Expense Ratio
$6.6B
Total AUM
Holdings
Inception
Active Share vs VOO
Truly Active
0%20%60%100%
71.3%

AI Look-Through Summary

AI Generated

The MCHI ETF maintains a substantial asset base of $6.6 billion, reflecting significant market participation in the Chinese equity landscape. Its sector allocation is heavily skewed toward Consumer Cyclical industries, which constitute 2.6% of its portfolio as explicitly detailed in the provided data points; however, this single figure suggests that while consumer spending remains a thematic pillar, the fund's broader exposure likely extends across other unlisted sectors within the Hong Kong market. The concentration risk profile is notably elevated by top holdings such as Tencent (0700.HK) and Alibaba (9988.HK), which collectively account for nearly 25% of total assets under management. This heavy weighting implies that a significant portion of the fund's performance trajectory will be directly correlated with the operational successes or regulatory headwinds facing these specific technology giants, rather than being broadly diversified across smaller market participants.

Geographically, the instrument is exclusively focused on Hong Kong-listed equities, offering investors direct access to mainland China companies through that jurisdictional gateway without requiring separate geographic tilts. The quantitative structure reveals a distinct lack of diversification beyond its largest constituents, with the top ten holdings representing approximately 47% of the total portfolio value when aggregating their individual percentages. This concentration means that volatility in these specific stocks will disproportionately impact the fund's overall standard deviation and beta relative to a more evenly weighted index. Furthermore, the absence of sector data for nine out of the top ten positions indicates a complex underlying composition where traditional industry classifications may not fully capture the business models of many constituents, potentially complicating risk modeling efforts that rely on clear sector boundaries.

Generated by Qwen-32B from constituent-level data. Not investment advice. Updated: 2026-05-21 15:08:41.042532+00

🔍 Theme Alignment Audit

AI GeneratedPurity: 85/100

The ETF name MCHI implies a broad exposure to the Chinese market, yet the provided top holdings list reveals a significant concentration in specific large-cap equities rather than a diversified thematic spread. While several names like PDD are explicitly categorized under Consumer Cyclical, many others lack sector classifications or appear as generic identifiers, suggesting they may be major financial institutions or conglomerates common in the region but not necessarily tied to a single narrow theme. The heavy weighting of these specific entities indicates that while the fund targets China broadly, its performance is heavily dependent on a small group of mega-cap stocks rather than a wide array of thematic plays across various industries.

Sector analysis shows Consumer Cyclical at only 2.6% within the top ten holdings, which creates an apparent disconnect if the fund's strategy relies solely on consumer trends; however, this low percentage likely reflects that other unlisted sectors hold substantial weight in the broader portfolio beyond these specific positions. The extreme concentration risk is evident with a Top-10 holding ratio of 42.9%, meaning nearly half of the immediate exposure comes from just ten names. This structure suggests the fund behaves more like an index tracker focused on China's largest companies rather than a specialized thematic vehicle designed to outperform through niche selection, as the sector weights do not clearly differentiate it from a broad market benchmark dominated by similar large caps.

AI analysis of holdings alignment vs fund theme. Not investment advice. Updated: 2026-05-20 15:22:17.264016+00

🏢 Sector Analysis

AI Generated

The MCHI fund exhibits a highly concentrated equity exposure centered almost exclusively within the Chinese market, as evidenced by its top-10 concentration metric of 42.9%. This structural characteristic suggests an investment thesis that prioritizes deep conviction in specific large-cap mainland and Hong Kong-listed enterprises over broad diversification across global regions or industries. The sector allocation data reveals a distinct lack of exposure to traditional defensive sectors; with Consumer Cyclical representing merely 2.6% via PDD, the portfolio appears underweight relative to typical emerging market benchmarks that often include significant consumer staples or industrials. Instead, the heavy weighting in holdings like 0700.HK and 9988.HK indicates a tilt toward technology, internet services, and financials, sectors where these specific entities dominate their respective markets.

This concentration creates inherent volatility risks tied closely to macroeconomic conditions within China, regulatory shifts affecting tech giants, and currency fluctuations in the RMB. The fund's performance will likely mirror the fortunes of its top five holdings rather than tracking a balanced market index, meaning that idiosyncratic news regarding any single major company can disproportionately impact overall portfolio value. Furthermore, the minimal representation of Consumer Cyclical implies the manager is not attempting to hedge against economic downturns through defensive positioning but is instead betting on continued growth momentum in high-growth sectors despite potential cyclicality concerns.

Ultimately, MCHI functions as a leveraged bet on the success of China's leading digital and financial conglomerates rather than a diversified vehicle for general emerging market exposure. The absence of other major sector allocations highlights an aggressive factor tilt toward large-cap quality within specific growth industries while accepting elevated concentration risk. Investors examining this profile must weigh whether the potential upside from these dominant players outweighs the downside protection offered by a more balanced, multi-sector approach to Chinese equities.

AI-generated sector analysis from constituent-level data. Not investment advice. Updated: 2026-05-19 23:48:35.01034+00

Flow Driver Analysis

2-Step Circle

Which larger ETFs share MCHI's holdings — and mechanically drive its price through index rebalancing flows?

Approximately 28% of MCHI's weight flows through these larger ETFs

Driver ETFAUMExpenseShared StocksWeight Overlap
IEMGIEMG$134B328.4%

28% of MCHI's portfolio by weight is also held by IEMG, which commands 20× more assets under management. When IEMG receives inflows, it mechanically buys these shared stocks — dragging MCHI's NAV along regardless of any thematic or sector catalyst.

Overlap computed from constituent-level holdings data across 1 ETFs. Price co-movement with driver ETFs is structural, not coincidental. Not investment advice.

ETF Look-Through Dashboard

Replaces $249/yr Morningstar

Peer through the ETF wrapper to see exactly what you own. Every metric is computed from constituent-level data.

17.9x
Weighted P/E
1.47x
Weighted P/B
2.27%
Dividend Yield
$2.1T
Wtd Avg Market Cap

Weighted metrics calculated based on 68% of fund assets with available data.

Herfindahl-Hirschman Concentration Index

01000200030004000378
Well Diversified
Top 5: 34.5%Top 10: 44.3%

Morningstar-Style Box

Value
Blend
Growth
Large
Mid
Small
Large Blend

Sector & Cap Explorer

Other93.9%
Visualization Mode

ETF Fundamental Radar

Total Analysis
26% Weight
Market Cap
Mega
Risk Profile
Low Risk

Operational health is mixed, with the bulk of weight in the mid-range (4–6) Piotroski scores.

Piotroski F-Score (Operational Health)

Score 0-9: Measures Profitability, Leverage, and Efficiency

↑ Weight (%)100%80%60%40%20%
0%
0–3 Weak
0%
4–6 Average
26%
7–9 Strong

Based on 26% of fund weight with Piotroski data.

Computed by rolling up individual stock Piotroski F-Scores, Altman Z-Scores, and Beneish M-Scores weighted by each constituent's allocation. Data that Vanguard and BlackRock don't surface.

Dividend Safety True-Up

Deterministic
27%
Wtd FCF Payout Ratio
0.00%
TTM Yield
Very Safe
Dividend Durability
27% of FCF
0% (retains all cash)50%100% (pays out everything)

The dividend-paying companies inside MCHI collectively pay out 27% of their Free Cash Flow to maintain the current yield. This leaves a substantial cash buffer, making dividend cuts unlikely even in a downturn. Based on 24% of fund weight in dividend-paying stocks.

FCF Payout Ratio = Dividends Paid / Free Cash Flow, weighted by constituent allocation. Not investment advice.

Earnings vs. Price Decomposition

Proprietary
+8.7%
ETF 1Y Return
+44.6%
Wtd Earnings Growth
-35.9%
Multiple Contraction
Earnings

MCHI is up 8.7% over the last 12 months. The underlying weighted earnings growth of its constituents is +44.6%. Despite earnings growth, valuations have contracted by 35.9% — the market is paying less per dollar of earnings than a year ago.

Earnings growth = weighted average YoY EPS growth of all constituents (capped at ±500% to limit outlier distortion). Based on 26% of fund weight with earnings data. Not investment advice.

Value Creation Map

ROIC vs WACC

What percentage of MCHI's weight is allocated to companies that create economic value (ROIC > WACC) vs. destroy it?

100% Creators
Value Creators (ROIC > WACC)24.4%
Value Destroyers0.0%

Of MCHI's analyzed weight, 100% is invested in companies earning more than their cost of capital — genuine value creators. The remaining 0% consists of companies whose ROIC falls below their WACC, effectively destroying shareholder value with every dollar invested.

ROIC-WACC spread for 24% of fund weight with available data. Not investment advice.

Concentration Risk Monitor

HIGH
14.1%
Largest Holding
0700.HK
28.4%
Top 3 Weight
28
Effective # of Stocks
57%
Top Stock Var. Share
Portfolio weight concentration
0700.HK
9988.HK
Other 5 stocks

0700.HK at 14.1% contributes an estimated 57% of portfolio variance.MCHI holds 10 stocks but behaves like an 28-stock portfolio due to weight concentration in the top holdings.

Effective # of Stocks = 1 / HHI (Herfindahl-Hirschman Index). Variance share approximated as w² / Σw². Not investment advice.

Passive Crowding Score

LOW

How much of each constituent's market cap is structurally locked in passive ETFs — a proxy for liquidity fragility during sell-offs.

1/ 100
Wtd Avg Passive Ownership0.3%
Most Crowded HoldingPDD (2.1%)
Least Crowded1810.HK (0.0%)
Coverage29% of fund weight
0 — Low255075100 — Extreme

MCHI has a low Passive Crowding Score of 1/100. On average, 0.3% of the market capitalization of MCHI's underlying holdings is structurally locked in passive ETF vehicles. This indicates relatively low passive crowding — the underlying stocks have ample active-market liquidity to absorb ETF-driven flows without significant price distortion.

Passive $ = Σ(ETF AUM × holding weight) across all 2 tracked ETFs. Actual passive ownership is higher (includes mutual funds, pension funds). Not investment advice.

Under the Hood — Top 10 Constituents

Top 10 Concentration42.9%
#TickerCompanyWeightP/EF-Score
10700.HK
Tencent Holdings Ltd
14.12%
18.0x7/9
29988.HK
Alibaba Group Holding Ltd Ordinary Shares
10.24%
22.3x7/9
300939
China Construction Bank Corp Class H
3.99%
4PDD
PDD Holdings Inc ADR
Consumer Cyclical
2.62%
8.9x
51810.HK
Xiaomi Corp Class B
2.36%
18.3x
601398
Industrial And Commercial Bank Of China Ltd Class H
2.16%
702318
Ping An Insurance (Group) Co. of China Ltd Class H
2.00%
83690.HK
Meituan Class B
1.95%
901211
BYD Co Ltd Class H
1.79%
1003988
Bank Of China Ltd Class H
1.69%

Historical Holdings Snapshots

Browse how MCHI’s holdings have changed across SEC filing dates. Showing top holdings per snapshot.

2026-05-24

10 holdings · 42.9% tracked weight
#TickerWeightSharesMarket Value
10700.HK14.12%
29988.HK10.24%
3009393.99%
4PDD2.62%
51810.HK2.36%
6013982.16%
7023182.00%
83690.HK1.95%
9012111.79%
10039881.69%

2026-05-23

10 holdings · 42.9% tracked weight
#TickerWeightSharesMarket Value
10700.HK14.12%
29988.HK10.24%
3009393.99%
4PDD2.62%
51810.HK2.36%
6013982.16%
7023182.00%
83690.HK1.95%
9012111.79%
10039881.69%

2026-05-22

10 holdings · 42.9% tracked weight
#TickerWeightSharesMarket Value
10700.HK14.12%
29988.HK10.24%
3009393.99%
4PDD2.62%
51810.HK2.36%
6013982.16%
7023182.00%
83690.HK1.95%
9012111.79%
10039881.69%

2026-05-21

10 holdings · 42.9% tracked weight
#TickerWeightSharesMarket Value
10700.HK14.12%
29988.HK10.24%
3009393.99%
4PDD2.62%
51810.HK2.36%
6013982.16%
7023182.00%
83690.HK1.95%
9012111.79%
10039881.69%

2026-05-20

10 holdings · 42.9% tracked weight
#TickerWeightSharesMarket Value
10700.HK14.12%
29988.HK10.24%
3009393.99%
4PDD2.62%
51810.HK2.36%
6013982.16%
7023182.00%
83690.HK1.95%
9012111.79%
10039881.69%

2026-05-19

10 holdings · 42.9% tracked weight
#TickerWeightSharesMarket Value
10700.HK14.12%
29988.HK10.24%
3009393.99%
4PDD2.62%
51810.HK2.36%
6013982.16%
7023182.00%
83690.HK1.95%
9012111.79%
10039881.69%

Source: SEC filings and fund provider disclosures. Shows last 6 snapshot dates, top 15 holdings per date by weight.

Risk Profile

30.6%
Annual Volatility
0.83
Sharpe (1Y)
0.24
Sharpe (3Y)
-25.9%
Max Drawdown (3Y)
-57.0%
Max Drawdown (5Y)

Sharpe = risk-adjusted return (higher is better). Computed from 1,200+ trading days with 5% risk-free rate.

Price Chart with Moving Averages

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What Drove MCHI Today?

Daily return attribution — which holdings contributed most (and least) to the fund's move.

Fund move:+3.23%(2026-06-02)

Top Detractors

-0.088%

Attribution = holding weight × stock daily return. Only the top contributors and detractors are shown.

Technical Setup

AI Generated

MCHI is currently trading at $57.18, a price point that requires contextualization against its moving average envelope to assess potential mean-reversion dynamics. Without specific values for the short-term and long-term Simple Moving Averages or their upper and lower bands in the provided dataset, it is impossible to definitively state whether the security is positioned near the mean, stretched toward an overbought zone at the upper band limit, or depressed into oversold territory near the lower boundary. The relative distance between the current market price of $57.18 and these theoretical statistical limits determines the magnitude of potential pullback or rally; for instance, a significant deviation from the central trend line might suggest increased volatility before a return to equilibrium occurs, whereas proximity to the average implies continued momentum along the established trajectory. In the absence of explicit band width data or historical variance metrics, any assessment of mean-reversion probability remains speculative rather than factual. Technical analysts typically observe that prices trading far outside standard deviation limits often face resistance from statistical forces pulling them back toward the moving averages, yet this behavior is not guaranteed without knowing the specific parameters of the envelope being utilized. The current level of $57.18 serves as a snapshot in time, but its strategic significance relies entirely on where it sits relative to the dynamic support and resistance lines defined by recent price history. Market participants must evaluate whether this figure represents an anomaly or a continuation of trend based on unseen moving average calculations that would clarify the asset

Underwater (Drawdown from Peak)

How far below the all-time high the price has been over time. Deeper = more pain for holders.

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Rolling 60-Day Beta vs S&P 500 (VOO)

How the ETF's sensitivity to market moves changes over time. β > 1 = more volatile than the market.

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Rolling Beta Market (β = 1.0)

Yield & Income

0.00%
TTM Yield
30-Day SEC Yield
5Y Div CAGR

Sector Drift Over Time

How MCHI’s sector allocation has shifted across snapshots. Use the slider to travel through time.

2026-05-2456 snapshots
Other93.9%
Consumer Cyclical6.1%
Change since 2026-03-30
Consumer Cyclical
+0.1%
Other
-0.1%
2026-03-302026-05-24

Active Conviction Tracker

Shares bought and sold between the latest two data snapshots — reveals what the fund manager is actually doing.

No position changes detected between snapshots.

Explore More

Quant metrics computed deterministically from financial statements and price data. Updated: 2026-06-02.

SecuritiesDB is for informational purposes only. Not investment advice.