VanEck China New Economy ETF (CNEW) — Review & Analysis

CNEW tracks an index of fundamentally screened Chinese companies in New Economy sectors — technology, health care, consumer staples and consumer discretionary. AUM is $100.59 million as at May 2026 with a 0.95% p.a. management fee. Compare CNEW across the China and Asia cohort on our Asia ETF page or use the Compare ETFs tool to put it side-by-side with IZZ, CETF or DRGN.

The methodology is what separates CNEW from the broad China ETFs. Where IZZ (FTSE China 50, 0.60%) holds the largest HK-listed Chinese names regardless of sector — including big state-owned banks and energy companies — CNEW explicitly screens those out, focusing on the consumer-led growth side of the Chinese economy. CNEW delivered a +16.3% one-year return to May 2026, well ahead of IZZ's −8.3% over the same period — a clear demonstration that the sector tilt has paid off recently.

Structurally, CNEW invests in A-shares (mainland-listed) using a fundamental screen rather than pure market-cap weighting. That gives it a quality bias missing from the pure-index alternatives, but means it can deviate meaningfully from headline China indices. The 0.95% MER is the highest of the China ETF cohort, reflecting the active screening process and mainland market access.

For investors wanting China exposure aligned with the consumption and tech transition rather than legacy state-owned enterprises, CNEW is the most targeted vehicle. Read our Asia, China & Emerging Markets ETF guide for the full comparison of every China ETF available on the ASX.