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Data: Factset; Chart: Axios Visuals

While China's most well-known equity indexes have underperformed this year, its onshore stocks — so-called A-shares — have driven returns well above the U.S. and index maker MSCI's all-world stock index.

What it means: The A-shares are primarily domestic companies and therefore less exposed to the U.S.-China trade war.

  • Asha Mehta, an emerging and frontier market portfolio manager at Acadian Asset Management, told me last year that was a big reason she was leading her firm’s new China A-shares fund, the second asset manager to get licensed for A-share market access. She said that she was expecting the fund to draw $2 billion in assets.
  • Unfortunately for most investors, they are still little owned by those outside of China. But that's changing quickly.

What's happening: Researchers at the IMF reported Wednesday that aggregate portfolio inflows to China had more than tripled to $159 billion in 2018 from $50 billion in 2016, with overseas purchases of A-shares "especially strong."

  • "Add the widely expected inclusion of Chinese bonds and equities into FTSE and JP Morgan indexes, and China can expect to see benchmark-driven portfolio inflows of as much as $450 billion, or 3 percent to 4 percent of GDP, in the next two to three years," analysts wrote.
  • "These preliminary estimates may be conservative."

Go deeper: The trade war isn't breaking China's economy

Go deeper

Updated 5 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 4 p.m. ET: 19,193,661 — Total deaths: 716,735 — Total recoveries — 11,611,029Map.
  2. U.S.: Total confirmed cases as of 4 p.m. ET: 4,918,927 — Total deaths: 160,737 — Total recoveries: 1,598,624 — Total tests: 59,652,675Map.
  3. Politics: White House recommends Trump issue executive orders on coronavirus aid.
  4. Education: Cuomo says all New York schools can reopen for in-person learning.
  5. Public health: Surgeon general urges flu shots to prevent "double whammy" with coronavirus — Massachusetts pauses reopening after uptick in coronavirus cases
  6. World: Africa records over 1 million coronavirus cases — Gates Foundation puts $150 million behind coronavirus vaccine production.

Trump: "We are going a different way" on coronavirus aid

President Trump. Photo: Jim Watsonn/AFP via Getty Images

President Trump tweeted on Friday that his administration is "going a different way" with coronavirus aid after negotiations with congressional Democrats stalled again, suggesting he will use an executive order to address stimulus spending.

What he's saying: "Pelosi and Schumer only interested in Bailout Money for poorly run Democrat cities and states. Nothing to do with China Virus! Want one trillion dollars. No interest. We are going a different way!" Trump tweeted.

Trump's swift, sweeping China offensive

Illustration: Aïda Amer/Axios

President Trump's rhetoric on China has tended to run hotter than his actions — until now.

Why it matters: Even at the height of Trump's trade war, his administration never hit China as hard, as fast, and on as many fronts as it is right now.