facebookIs KWEB or HKEX:3067 better? - Seedly

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Anonymous

22 Dec 2020

βˆ™

General Investing

Is KWEB or HKEX:3067 better?

They are both Chinese tech, with 3067 being newly launched and lower expense ratio. But they have different holdings.

Any idea which is better to buy and if there are any other difference besides currency?

Discussion (1)

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3067's annual expense is only 0.25%, about 1/3 of KWEB 0.73%, which is very expensive! Similar ETFs QQQ, QQQJ, CQQQ expenses: 0.2%, 0.15%, 0.7%.

Nicholas Beh

22 Dec 2020

Student Ambassador 2020/21 at Seedly

KWEB tracks the CSI Overseas China Internet Index (listed on US or HK markets), while 3067 tracks the Hang Seng Tech Index (listed in HK).

While there may be significant overlap between the 2 ETFs, there will be companies where one ETF invests in but the other may not. You may want to look into their constituents and see which better fits your investment goals.

An important thing to note about KWEB is that because it is a US-domiciled ETF, dividends are subject to a 30% withholding tax as compared to 10% (or 0%, if company is fully based in HK). If you would rather use USD to purchase, you can consider 9067 which is the USD equivalent of 3067.

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