Imagine turning a single click into a basket of top stocks 🎯. In 2025, the ETF market in the Chinese mainland has exploded, smashing records and grabbing headlines. As of December 19, assets under management hit a whopping 5.78 trillion yuan ($820 billion), up over 53% year-to-date.
Just four months ago, ETFs on the mainland crossed the 4 trillion yuan mark. Now they’re past 5 trillion, a rocket-speed rise compared to the 14 years it took to hit the first trillion. 🚀
"For individual investors, ETFs provide one-click access to a basket of key stocks in a target sector, directly addressing the challenges of stock-picking and high research costs," says Yao Ziwei, chief analyst at China Securities.
Policy support has been a major tailwind. In 2024, the Chinese mainland rolled out a nine-point guideline to supercharge its capital markets, including a fast-track approval channel for new ETFs. That means faster launches and more options for investors.
But it’s not just ETFs stealing the show. Fund of Funds (FOFs) also had a blockbuster year. By December 17, 79 new FOFs launched, raising 80.35 billion yuan in 2025—already beating the total fundraising volume of the previous three years combined. 💼📈
Both ETFs and FOFs are pouring long-term capital into the tech world, from AI to semiconductors. This strategic focus on hard-tech is fueling innovation and industrial upgrading across the mainland.
Analysts note that steady inflows from these products help calm market volatility, creating a more mature and rational investment environment. The STAR 50 ETF, for example, lets retail investors ride the hard-tech wave while acting as a stabilizer and capital anchor for the STAR Market.
With retail enthusiasm 🔥 and policy tailwinds aligning, the Chinese mainland’s ETF and FOF markets are rewriting the playbook for investment in Asia. If current trends continue, 2026 could be even more epic. Stay tuned! 😉
Reference(s):
China's ETF market surges over 50% in 2025, hitting record high
cgtn.com
