New ETF Targets Chinese Tech Sector

 |  Includes: BIDU, CQQQ, NTES, SINA
by: Roger Nusbaum

GlobalX recently launched China sector funds for consumer and industrial and today Claymore launched a tech ETF with ticker CQQQ. It is heavy in the Chinese internet stocks we have all known for a long time like Baidu (NASDAQ:BIDU), Sina (NASDAQ:SINA) and Netease (NASDAQ:NTES).

One of the things about China ETFs, sector or otherwise, is that I would rather seem them offer access to parts of the market that are not otherwise easily accessed. That does not make a fund necessarily better but it does offer an alternative to what is out there and CQQQ really does not.

You've probably heard of Huawei (pronounced wah-way), the Chinese networking company that is not publicly traded. While obviously no ETF would have this company, there are other tech companies in China and a fund that include just those stocks that are not easily accessed in the US would make for a more interesting fund.

Hat tip to IndexUniverse.