Roundhill Investments, a firm known for its successful Magnificent Seven ETF (MAGS), is looking to replicate that success in China with the launch of the Lucky Eight ETF. The CEO, Dave Mazza, aims to create China’s version of Wall Street’s big tech stocks through this new ETF. Mazza believes that despite uncertainties surrounding the Chinese economy, investors are searching for specific exposures that can deliver precision, similar to what MAGS has achieved.
The Lucky Eight ETF, trading under the ticker “LCKY,” will include equal-weighted exposure to eight Chinese tech giants, including Tencent Holdings, Alibaba, Meituan, BYD, Xiaomi, PDD Holdings, JD.com, and Baidu at launch. These companies were selected for their market dominance in technological innovation, according to Roundhill’s SEC filing. Mazza sees an opportunity for investors to capitalize on these key names, especially during an economic slowdown, by providing a focused investment option with the Lucky Eight ETF.
While existing ETFs like the KraneShares CSI China Internet ETF offer broad exposure to Chinese tech stocks, Mazza aims to offer investors the opportunity to concentrate on a select few names in the space. He believes in the importance of diversification in a portfolio, but acknowledges that some investors may prefer to focus solely on specific companies. The Lucky Eight ETF aims to fill that gap by providing investors with exposure to the names that matter in the Chinese tech sector.
Pending SEC approval, the Lucky Eight ETF is scheduled to launch this summer. Mazza is confident that this ETF will attract investors looking for targeted exposure to the top Chinese tech companies. By focusing on market leaders in technological innovation, Roundhill Investments hopes to replicate the success of the MAGS ETF in China and provide investors with a unique investment opportunity. Investors seeking exposure to the Chinese tech sector may find the Lucky Eight ETF to be a valuable addition to their portfolios.
In conclusion, Roundhill Investments is planning to introduce the Lucky Eight ETF as a way for investors to gain precision exposure to the Chinese tech sector. The ETF will include equal-weighted exposure to eight key Chinese tech companies known for their market dominance in technological innovation. With the planned launch of the Lucky Eight ETF this summer, investors will have the opportunity to focus on specific names in the Chinese tech space, mirroring the success of Roundhill’s Magnificent Seven ETF. Pending SEC approval, the Lucky Eight ETF could be an attractive option for investors looking to capitalize on the potential growth of the Chinese tech sector.
