China ETF Fund Flows H1 2025 Dominate as Passive Investing Surges

China ETF fund flows H1 2025 dominated passive investing trends, with ETFs capturing over 90% of RMB2.63tr (USD360bn) in inflows since 2022, according to Morningstar. Active funds, by contrast, lost RMB262bn during the same period. Fixed-income funds attracted the largest inflows, while allocation funds continued to see outflows amid equity market volatility. Gold funds doubled inflows as prices surged. ETF assets under management surpassed RMB4tr by the end of June, with equity ETFs at RMB3.6tr and fixed-income ETFs more than doubling to RMB384.4bn, fuelled by new credit bond products. Market concentration remained high, with the top 10 ETF providers controlling around 80% of total assets.