China Stocks

Edelweiss Greater China Equity Offshore Fund has delivered slightly higher average returns and marginally better risk-adjusted performance, while the Axis Greater China Equity FoF has experienced lower volatility and has a higher Sortino ratio.

AVIC Chengdu had become one of the biggest beneficiaries of geopolitical tensions last year. The stock surged after the India-Pakistan conflict brought global attention to the J-10 fighter jet.

Chinese defence stocks surged on March 2 due to rising tensions in the Middle East, with the CSI defense index increasing by 3.4%. Major players like Avic Shenyang Aircraft and Xi'an Triangle Defense saw significant gains, while overall market sentiment was mixed ahead of a parliamentary meeting.

Among the top-performing Chinese mining companies of this year are: Hunan Silver Co, Zijin Mining Group Co, Jiangxi Copper Co, Shandong Gold Mining and CMOC Group.

The extent of India's underperformance is such that it's also lagged its neighbour Pakistan, whose stock market has not only given high double-digit returns but also remains one of the top-performing global markets.

Chinese investors are betting on companies like MetaX that could emerge as competitors to global leader Nvidia, whose most advanced chips have been restricted from being sold by the US to China amid export controls.

AVIC Chengdu's stock is seeing a pullback following a sharp run-up in the earlier part of 2025 as the J-10 was used in a recent conflict between Pakistan — China's close defence partner — and India.

Shares of Avic Chengdu, maker of J-10 fighter jets, tumbled in trade and shed 2% of its value. The fall comes following a three-day rally wherein the defence stock gained over 4%.