Global X is set to close three China ETFs after they failed to gather sufficient assets.
In a shareholder notice, the firm said the Global X China Biotech UCITS ETF (CBIO), Global X China Clean Energy UCITS ETF (CCLN) and the Global X China Cloud Computing UCITS ETF (CCLD) will close on 28 August.
Global X declined to comment.
With all three ETFs launching in 2022, CBIO and CCLD have both amassed $1m since their inception, while CCLN houses $1.8m AUM.
China ETFs have struggled to generate returns after a difficult 2023, making them some of the worst performing ETFs of the year.
The struggle continued into 2024, though China ETFs saw some respite in May, managing to come out among the top performers for the month after some bright spots started to appear in economic data.
Despite the encouraging data, two issuers have closed China-related ETFs over the last few months.
State Street Global Advisors closed its China government bond ETF in June as persistent low yields impacted investor demand.
Meanwhile, KraneShares also closed its China bond and a China A-Share ETF due to low AUM.
Invesco went against the tide by launching Europe’s first ETF tracking China’s tech-focused ChiNext index in June.
