NEW YORK ( TheStreet) -- Van Eck Global launched Market Vectors China A-Shares ETF (PEK) yesterday. Today, it's trading at more than a 14% premium to its net asset value. Is PEK truly an ETF, or is it more like a closed-end fund?PEK claims to be the only U.S.-listed ETF designed to give investors exposure to the China A-shares market, which has historically been limited to domestic investors in China and qualified foreign institutional investors. However, PEK will not be investing directly in those A-shares. Instead, it will seek to track the CSI 300 Index by investing in swaps and other types of derivatives. This approach is also used by other A-shares ETFs listed in Hong Kong, Japan, Taiwan and Singapore.
New China ETF Trades at 14% Premium
Check Out Our Best Services for Investors
Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts
David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
Every recommendation goes through 3 layers of intense scrutinyquantitative, fundamental and technical analysisto maximize profit potential and minimize risk.
More than 30 investing pros with skin in the game give you actionable insight and investment ideas.