Matthews International Funds (ADVE)

Overview

Matthews International Funds offers a suite of ETFs focused on providing investors access to diverse investment opportunities in emerging and frontier markets across Asia. These ETFs aim for long-term capital appreciation by investing in companies based in or with significant exposure to these high-growth regions.

Reputation and Reliability

Matthews Asia is a well-regarded investment manager specializing in Asian markets with decades of experience and a solid track record.

Management Expertise

Matthews Asia boasts a team of experienced investment professionals with deep local knowledge and expertise in Asian economies and companies.

Goal

To achieve long-term capital appreciation through investments in Asian equity markets.

Investment Approach and Strategy

Strategy: Actively managed, employing a bottom-up investment approach focusing on fundamental analysis of individual companies.

Composition Primarily composed of equity securities of companies located in or with significant operations in Asia, excluding Japan in some cases.

Market Share: Market share varies depending on the specific Matthews Asia ETF and its target market segment. Data not readily available for all sub-segments.

Total Net Assets (AUM): AUM varies significantly across the different ETFs within the Matthews International Funds suite.

Key Competitors

• VWO
• IEMG
• EEM
• ASHR
• MCHI

Competitive Landscape

The Asian emerging markets ETF landscape is highly competitive, dominated by larger, more established ETFs like VWO and IEMG. Matthews Asia differentiates itself through active management and a focus on high-growth companies, but faces challenges competing with the lower expense ratios and broader diversification of passive index ETFs. A key advantage is specialized expertise; a disadvantage can be higher expenses.

Historical Performance: Historical performance varies based on the specific Matthews Asia ETF. Data available in fund prospectuses and factsheets.

Benchmark Comparison: Performance typically compared to benchmarks such as the MSCI Emerging Markets Index or specific regional/country indices.

Expense Ratio: Expense ratios vary across the suite of Matthews Asia ETFs, generally ranging from 0.79% to 0.99%.

Average Trading Volume

Average trading volume varies significantly depending on the specific Matthews Asia ETF, ranging from a few thousand shares to tens of thousands of shares daily.

Bid-Ask Spread

The bid-ask spread for Matthews Asia ETFs generally ranges from 0.05% to 0.20%, depending on trading volume and market conditions.

Market Environment Factors

Asian markets are influenced by factors such as economic growth in China and India, trade policies, currency fluctuations, and geopolitical events.

Growth Trajectory

Matthews Asia's growth trajectory is tied to the growth of Asian economies and the increasing adoption of emerging market investments by global investors. Changes in portfolio allocations may occur based on macroeconomic conditions and company-specific developments.

Competitive Edge

Matthews Asia's competitive edge lies in its deep expertise in Asian markets, its commitment to fundamental research, and its active management approach. This allows them to identify undervalued companies with strong growth potential. This expertise, coupled with local presence and language skills, provides insights often missed by passive funds. However, these benefits come at a cost of higher expense ratios and depend on the active management delivering superior results.

Volatility

Volatility varies depending on the specific Matthews Asia ETF, but generally reflects the volatility inherent in emerging and frontier markets.

Market Risk

Market risk includes risks associated with economic downturns, political instability, currency fluctuations, and regulatory changes in Asian countries.

Ideal Investor Profile

Ideal investors are those seeking long-term capital appreciation through exposure to Asian emerging markets and are comfortable with the higher risks associated with these markets.

Market Risk

Best suited for long-term investors with a high-risk tolerance and a diversified portfolio.

Matthews International Funds offers a focused approach to investing in Asian emerging markets through a suite of actively managed ETFs. Their expertise in the region and bottom-up fundamental approach aim to deliver long-term capital appreciation, but come with higher expense ratios. Investors should be comfortable with the volatility and market-specific risks associated with investing in emerging markets. Therefore, these ETFs are best suited for experienced investors seeking targeted exposure to Asian equities as part of a diversified portfolio.

Data Sources:

• Matthews Asia Website
• ETF.com
• Morningstar
• Company Factsheets
• Fund Prospectuses

Disclaimers:

This information is for informational purposes only and should not be considered financial advice. Investment decisions should be made based on individual circumstances and after consulting with a qualified financial advisor. Past performance is not indicative of future results.