Core Insights - Seven out of nine global indexes tracked have shown year-to-date gains as of February 23, 2026, indicating a generally positive market trend [1] - Japan's Nikkei 225 leads with a year-to-date gain of 12.9%, followed by the UK's FTSE 100 at 7.6% and Canada's TSX at 6.5% [1] - India's BSE SENSEX is the only index with a year-to-date loss, currently at -2.3% [1] Index Performance - The S&P 500, TSX, CAC 40, and BSE SENSEX reached their lows on March 9, 2009, marking a significant recovery point for these indexes [1] - The performance of world markets has been visualized since the last recession starting from February 3, 2020, providing context for current market conditions [1] - Historical peak values for each index are provided, showing how far current values are from their all-time highs [1] ETF Examples - Notable single country ETFs include SPDR S&P 500 ETF Trust (SPY), iShares MSCI Canada ETF (EWC), and iShares MSCI India ETF (INDA), among others [1] - The DAXK index is tracked as a price-only index for consistency with other indexes that do not include dividends [1]

Market Performance - The year of the Wood Snake was moderate for China stocks and ETFs, with iShares China Large-Cap ETF (FXI) gaining about 9.4% over the past year, primarily in 2025 [1] - China's benchmark Shanghai Composite Index rose 18% in 2025, outperforming the S&P 500's 16.4% gain [1] - The current year has seen a decline in the market due to the ongoing property market crisis, weak January manufacturing data, and subdued economic growth momentum [1] Economic Growth - China's economy grew 4.5% year over year in Q4 2025, down from 4.8% in Q3, marking the weakest rise in three years [3] - Full-year growth for 2025 reached 5%, aligning with Beijing's target, supported by a record-high trade surplus [3] - Forecasts for 2026 GDP growth vary, with Vanguard estimating around 4.5% and Goldman Sachs predicting 4.8% [4] Regulatory Environment - Chinese policymakers are shifting towards sustainable growth, introducing tighter enforcement measures to moderate market momentum and strengthen long-term investor confidence [5] - The China Securities Regulatory Commission (CSRC) has intensified its crackdown on speculative activity following the Shanghai Composite Index reaching 10-year highs [6] AI Sector Growth - China aims to become a 90% AI economy by 2030, with significant growth in AI model usage projected [7] - Monthly token use in AI models in China is forecasted to range from 220-670Qa from 2025 to 2030, compared to 100-175Qa in the United States [8] Valuation and Equity Flows - The P/E ratio of FXI stands at 12.60X, significantly lower than the 28.77X of iShares Core S&P 500 ETF (IVV), indicating a cheaper valuation for Chinese equities [9] - Domestic equity flows are expected to rise, with Goldman Sachs estimating that Chinese equities could attract about $500 billion in fresh domestic capital this year [11] Consumption and Property Market Concerns - Domestic consumption remains subdued, with retail sales rising only 0.9% year on year in December 2025, missing market expectations [12] - The property sector is under pressure, with primary property sales expected to fall 10-14% in 2026 due to an oversupplied market [13] Overall Outlook - The outlook for Chinese stocks and ETFs is moderate-to-upbeat for 2026, supported by attractive valuations, improving equity flows, and AI-driven growth momentum [14] - However, long-term confidence in the Chinese market is contingent on regulatory stability, with potential volatility due to property sector stress and geopolitical risks [14]

Core Insights - The ETF market experienced record net inflows of $166 billion in January 2026, surpassing the combined inflows of the previous three Januarys [1] - There is a significant shift from U.S. mega-cap stocks to international equities, with international equity ETFs attracting $68 billion in January, marking the first time they outpaced U.S. equity inflows since February 2023 [1] - The S&P 500 trades at approximately 22 times forward 2026 earnings, while international equities are closer to 13 times, indicating a potential for better returns from international markets [1] ETF Market Dynamics - International funds accounted for about one-third of net inflows despite representing only 17% of total ETF assets, with four of the top 10 most popular equity ETFs focusing on international markets [1] - Global ex-U.S. equity funds have seen their strongest inflow streak in four and a half years, driven by a rotation out of expensive U.S. tech stocks into more affordable international markets [1] Regional Performance - Emerging markets have shown strong performance, with three of the top 20 most popular ETFs being focused on these markets, including the iShares Core MSCI Emerging Markets ETF, which has attracted approximately $9 billion this year [1] - South Korean stocks have gained 28% year-to-date, with the iShares MSCI South Korea ETF seeing net inflows of around $1.7 billion [1] - European-focused ETFs have also seen strong demand, with inflows into both equity and bond funds surpassing those of U.S. counterparts [1] China and ADRs - Despite strong stock performance, China-focused ETFs have not seen significant inflows, although the KraneShares CSI China Internet ETF attracted over $2 billion last year [1] - The ADR market represents a $2 trillion opportunity, with U.S. institutions holding more than $800 billion, primarily in Chinese firms [1] - New ADR indexes have been developed to provide more precise access to international opportunities through U.S.-listed securities, allowing for better replication of returns from underlying indices [1]

Core Insights - Eight out of nine global indexes tracked have shown year-to-date gains as of February 2, 2026, with Japan's Nikkei 225 leading at a gain of 4.6% [1] - India's BSE SENSEX is the only index with a year-to-date loss, currently at -4.2% [1] Index Performance - The S&P 500, TSX, FTSE 100, DAXK, CAC 40, Nikkei 225, Shanghai Composite, Hang Seng, and BSE SENSEX are the nine prominent indexes monitored [1] - The current performance of these indexes is compared to their historical peaks, providing context for their current values [1] Historical Context - A chart illustrates the performance of world markets since the last recession began on February 3, 2020, highlighting the relative performance of various indexes since March 9, 2009 [1] - Another chart provides a longer-term view starting from October 9, 2007, which was a previous closing high for the S&P 500, showing the mid-point of market peaks [1] ETF Examples - The article lists examples of single country ETFs, including SPDR S&P 500 ETF Trust (SPY), iShares MSCI Canada ETF (EWC), and others, indicating investment options related to the discussed indexes [1]

Core Insights - Seven out of nine global indexes tracked have shown year-to-date gains as of January 26, 2026, with Japan's Nikkei 225 leading at a gain of 5.1% [2] - The BSE SENSEX from India has experienced the largest year-to-date loss at -4.3% [2] Index Performance - The global markets watchlist includes prominent indexes such as the S&P 500, TSX, FTSE 100, DAXK, CAC 40, Nikkei 225, Shanghai Composite, Hang Seng, and BSE SENSEX [1] - The current performance of these indexes is compared to their historical peaks, providing context on their current values and distance from all-time highs [3] Historical Context - A chart illustrates the performance of world markets since March 9, 2009, aligning various indexes to visualize relative performance from their respective lows [5] - Another chart provides a longer-term view starting from October 9, 2007, capturing the mid-point of market peaks for several indexes [6]

Market Overview - The market is experiencing a pattern similar to the previous year, with initial volatility due to tariff threats from US President Donald Trump, followed by a recovery as tensions ease [1][2] - The Cboe Volatility Index (VIX) showed a quick spike and subsequent retreat, indicating a familiar volatility pattern in the market [2] Investor Behavior - Investors are actively hedging against geopolitical risks affecting Chinese companies and potential disappointing earnings in the tech sector [3][5] - A significant number of puts were purchased on various ETFs, including 400,000 lots in the iShares China Large-Cap ETF (FXI) and 150,000 in the Xtrackers Harvest CSI China A-Shares ETF (ASHR) [4] Strategic Insights - There is a growing sentiment among strategists that investors are better positioned for the "TACO trade," which aims to manage volatility spikes more effectively [6] - Analysts suggest that Trump's approach may lead to market fluctuations, with investors using these moments to position themselves for potential upside or to short volatility [7]

Core Viewpoint - KraneShares CSI China Internet ETF (KWEB) provides targeted exposure to China's internet and platform-based businesses, focusing on sectors such as e-commerce, online entertainment, search, fintech, and cloud services, benefiting from network effects and asset-light business models [1] Group 1: Investment Proposition - The portfolio is rules-driven, emphasizing liquid names across multiple venues, and typically reflects a growth orientation with significant sensitivity to domestic consumption, advertising cycles, and regulatory policy [1] - The fund can experience pronounced upside during risk-on phases characterized by improving sentiment, easier financial conditions, and supportive reforms [1] - Conversely, the fund may face headwinds from policy tightening, slowing demand, or US-dollar strength [1] Group 2: Use Cases and Investor Suitability - KWEB can serve as a satellite growth sleeve within China or emerging markets equity, factor completion for innovation exposure, or a thematic mandate for digital adoption [1] - Suitable investors include high-conviction allocators seeking concentrated participation in China's consumer-tech ecosystem and barbell users pairing cyclical value or commodities with platform growth [1] Group 3: Risk Factors - Key risks to monitor include regulatory and business-model uncertainty, particularly regarding evolving data, fintech, and content standards that can materially affect constituent fundamentals and valuation multiples [1]

Core Insights - All nine global indexes tracked have shown gains through December 15, 2025, with Hong Kong's Hang Seng leading at a year-to-date gain of 30.6% [2] - The second and third positions are held by Canada's TSX with a gain of 26.5% and Japan's Nikkei 225 with a gain of 25.8% [2] - India's BSE SENSEX has the smallest year-to-date gain at 6.6% [2] Index Performance Context - A table is provided that compares each index's current value to its all-time peak, including the date of that peak and the distance from that record level [3] - Historical performance since March 9, 2009, is illustrated, showing the relative performance of world markets, with specific lows for various indexes [5] - A longer-term view starting from October 9, 2007, is also presented, highlighting the performance during a previous market peak [6]

Core Insights - KraneShares has announced the cross-listing of its flagship ETFs, KWEB and KRBN, on the Abu Dhabi Securities Exchange (ADX) and the New York Stock Exchange (NYSE), marking a significant milestone for U.S.-domiciled ETFs in the Gulf Cooperation Council (GCC) region [2][3][4] Group 1: ETF Cross-Listing Significance - This cross-listing is the first instance of U.S.-domiciled ETFs being available on the ADX, enhancing investor access to one of the fastest-growing capital markets globally [3][4] - The listing of KWEB, the largest U.S.-listed China ETF, and KRBN, the global benchmark ETF for cap-and-trade carbon allowances, provides regional investors with direct access to these investment vehicles [4][5] Group 2: Strategic Importance for Abu Dhabi - The cross-listing reinforces Abu Dhabi's position as a gateway for global capital and highlights the increasing connectivity between U.S. and Gulf financial markets [4][5] - The ADX's ability to list U.S. securities reflects the confidence international partners have in its market infrastructure and regulatory robustness, contributing to deepening liquidity [5][9] Group 3: Investment Themes - KWEB offers exposure to China's leading internet and technology companies, focusing on sectors such as e-commerce, fintech, AI, and cloud computing [7] - KRBN provides diversified exposure to major cap-and-trade carbon allowance markets, allowing investors to engage in the growth of regulated carbon markets worldwide [7]

Core Insights - All nine global indexes tracked have shown gains through December 1, 2025, with Hong Kong's Hang Seng leading at a year-to-date gain of 31.7% [2] - The second and third positions are held by Canada's TSX with a 24.9% gain and Japan's Nikkei 225 with a 23.6% gain, while India's BSE SENSEX has the smallest gain at 7.1% [2] Index Performance - The performance of the indexes is compared to their historical peaks, providing context on their current values and how far they are from record levels [3] - A chart illustrates the comparative performance of world markets since March 9, 2009, with various indexes indexed to 800 on that date for visualization [5] - Another visualization starts from October 9, 2007, to show relative performance during a previous market peak [6] Market Context - The analysis includes a recent recession starting from February 3, 2020, to provide context on market performance during economic downturns [4] - The DAXK is tracked as a price-only index for consistency with other indexes that do not include dividends [8]