Chinese stocks, particularly the stocks traded in Mainland China known as A-shares, have been on fire this year.
Since ETFs typically do not pay high dividends, the funds that do so set themselves apart from the growing rabble of choices.
My recommendation to you, especially if you have money in Chinese stocks, is to not fall for what I consider to be the false narrative that there is a China equity bubble.
LQD gives exposure to a range of domestic investment-grade corporate bonds, primarily to large and well-known companies.
We shouldn’t fool ourselves into thinking that somehow the recent market highs represent a “new normal” of sorts for the markets.
Companies in the financial sector include banks, real estate firms, investment fund providers, insurance companies and more.