For investors seeking momentum, Global X China Financials ETF CHIX is probably on radar now. The fund just hit a 52-week high and is up more than 51% from its 52-week low price of $13.20/share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:
CHIX in Focus
This 41-stock fund looks to track the Solactive China Financials Total Return Index. The product charges 65 bps in fees. The fund is heavy on banks (36.95%) followed by insurance (26.3%), real estate (25.2%) and diversified financials (11.6%).
Why the Move?
China's economy expanded 6.9% in 2017, beating the official annual growth target of about 6.5%. This explains the China ETF’s recent run-up.
More Gains Ahead?
The fund has a Zacks ETF Rank #3 (Hold). Still, it seems that this fund might stay strong given a positive weighted alpha of 52.60. There is still some promise for investors who want to ride on this surging ETF.
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GLBL-X CHIN FIN (CHIX): ETF Research Reports
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