China ETFs Rally on Tax Waiver for Foreigners Before Link
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Exchange-traded funds tracking Chinese equities listed in Shanghai and Hong Kong rallied after the nation announced it will waive capital-gains taxes for foreign investors before a program linking the two bourses starts next week.
Deutsche Bank’s X-trackers Harvest CSI 300 China A-Shares ETF jumped 3.3 percent to the highest level since its U.S. debut last November. The iShares China Large-Cap ETF, which tracks 50 so-called H-shares of companies traded in Hong Kong, rose 1.9 percent to an eight-week high while a Bloomberg index of the most-actively traded Chinese companies in the U.S. extended its weekly gain to 2.8 percent.