MCH: MATTHEWS CHINA ACTIVE ETF
What this ETF is trying to do
The Matthews China Active ETF (MCH) is an actively managed fund that invests in companies based in China. It aims to provide investors with exposure to the Chinese market through a diversified portfolio of 75 holdings.
What the numbers show
As of October 9, 2026, the share price of MCH was $26.96. The fund's performance has been mixed over different timeframes:
• Year-to-Date: The price return is -4.42%, and the total return is also -4.42%.
• One Year: The price return was -10.22%. However, the total return (which includes distributions) was slightly better at -8.62%.
• Three Years: The fund saw growth over a longer period, with a price return of 33.52% and a total return of 39.95%.
For a simple example, if an investor had put $10,000 into the fund based on the estimated price from roughly one year ago ($30.03), the price-only decline of -10.22% would mean the value of those shares is now approximately $8,978.
Income and distribution explanation
MCH provides some cash income to investors, but it is not a high-yield fund. It has a distribution yield of 1.84%. Over the last 12 months, it only made one payout, and the distribution frequency is described as irregular or less frequent.
It is important to remember that a distribution yield is not the same as a total return. While distributions provide cash, they do not guarantee that the share price will stay stable or go up.
NAV erosion explanation
The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion.
Based on price-based evidence, the fund has an erosion-risk score of 75, which is labeled as "mild price erosion." This means there has been some deterioration in the share price, but the "severe erosion-risk flag" is false.
Top Holdings
The fund's portfolio is updated as of October 12, 2026. Because the list is partial, these are only the Top Holdings:
• Tencent Holdings Ltd: 8.76%
• China Life Insurance Co Ltd Class H: 4.11%
• PDD Holdings Inc ADR: 2.51%
• CMOC Group Ltd Class H: 2.09%
• China Construction Bank Corp Class H: 2.05%
• CMOC Group Ltd Class A: 2.01%
• China Merchants Bank Co Ltd Class H: 1.98%
• JP Morgan US Govt Capital 3164: 1.97%
• JD.com Inc Ordinary Shares Class A: 1.94%
• New China Life Insurance Co Ltd Class H: 1.89%
Pros
• Strong three-year total return of 39.95%.
• Provides diversified exposure to major Chinese companies.
Cons
• Negative price and total returns over the last year.
• Irregular distribution schedule.
• Mild price erosion risk.
Beginner takeaway
MCH is a way to invest in Chinese companies. While it has grown significantly over the last three years, it has struggled over the past year. It offers a small amount of income, but the payouts are infrequent. Investors should note that the fund has shown signs of mild price erosion.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | n/a | n/a | 8.84% |
| 2 | TENCENT HOLDINGS LTD | n/a | 8.76% |
| 3 | n/a | n/a | 4.14% |
| 4 | CHINA LIFE INSURANCE CO LTD CLASS H | n/a | 4.11% |
| 5 | n/a | n/a | 3.30% |
| 6 | PDD HOLDINGS INC ADR | PDD | 2.51% |
| 7 | CMOC GROUP LTD CLASS H | n/a | 2.09% |
| 8 | CHINA CONSTRUCTION BANK CORP CLASS H | n/a | 2.05% |
| 9 | n/a | n/a | 2.05% |
| 10 | CMOC GROUP LTD CLASS A | n/a | 2.01% |