MCHFX vs. EUAD

Last updated Aug 4, 2026

MCHFX (Matthews China Fund) and EUAD (Select STOXX Europe Aerospace & Defense ETF) are both funds - MCHFX is a China Equities fund managed by Matthews, while EUAD is a Aerospace & Defense fund tracking the STOXX Europe Total Market Aerospace & Defense Index. Over the past year, MCHFX returned 10.45% vs 12.00% for EUAD. Their 0.25 correlation means their historical movements had little consistent relationship. MCHFX charges 1.12%/yr vs 0.50%/yr for EUAD.

Performance

MCHFX vs. EUAD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Matthews China Fund (MCHFX) and Select STOXX Europe Aerospace & Defense ETF (EUAD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MCHFX achieves a -1.69% return, which is significantly lower than EUAD's 9.35% return.

MCHFX

• 1D: 0.12%
• 1M: 0.12%
• 6M: -4.30%
• YTD: -1.69%
• 1Y: 10.45%
• 3Y*: 8.27%
• 5Y*: -5.47%
• 10Y*: 6.38%
• ALL TIME*: 8.05%

EUAD

• 1D: 2.49%
• 1M: 3.88%
• 6M: 1.63%
• YTD: 9.35%
• 1Y: 12.00%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 38.15%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
EUAD Select STOXX Europe Aerospace & Defense ETF	$6.91M	$7.16M	$13.32M
MCHFX Matthews China Fund	$0.00	$0.00	$0.00

MCHFX vs. EUAD - Yearly Performance Comparison

	2026 (YTD)	2025	2024
MCHFX Matthews China Fund	-1.69%	29.82%	-6.21%
EUAD Select STOXX Europe Aerospace & Defense ETF	9.35%	74.51%	-6.86%

Correlation

The correlation between MCHFX and EUAD is 0.35, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.35
Correlation (All Time) Calculated using the full available price history since Oct 22, 2024	0.25

Return for Risk

MCHFX vs. EUAD — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

MCHFX

MCHFX Risk / Return Rank: 10
MCHFX Sharpe Ratio Rank: 9
MCHFX Sortino Ratio Rank: 10
MCHFX Omega Ratio Rank: 10
MCHFX Calmar Ratio Rank: 11
MCHFX Martin Ratio Rank: 10

EUAD

EUAD Risk / Return Rank: 21
EUAD Sharpe Ratio Rank: 21
EUAD Sortino Ratio Rank: 22
EUAD Omega Ratio Rank: 21
EUAD Calmar Ratio Rank: 21
EUAD Martin Ratio Rank: 20

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

MCHFX vs. EUAD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Matthews China Fund (MCHFX) and Select STOXX Europe Aerospace & Defense ETF (EUAD). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	MCHFX	EUAD	Difference
Sharpe ratio: Return per unit of total volatility	0.40	0.41	-0.02
Sortino ratio: Return per unit of downside risk	0.72	0.80	-0.09
Omega ratio: Gain probability vs. loss probability	1.08	1.09	-0.01
Calmar ratio: Return relative to maximum drawdown	0.56	0.55	+0.01
Martin ratio: Return relative to average drawdown	1.33	1.17	+0.16

MCHFX vs. EUAD - Sharpe Ratio Comparison

The current MCHFX Sharpe Ratio is 0.40, which is comparable to the EUAD Sharpe Ratio of 0.41. The chart below compares the historical Sharpe Ratios of MCHFX and EUAD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

MCHFX vs. EUAD - Drawdown Comparison

The maximum MCHFX drawdown since its inception was -67.02%, which is greater than EUAD's maximum drawdown of -22.04%. Use the drawdown chart below to compare losses from any high point for MCHFX and EUAD.

Drawdown Indicators

	MCHFX	EUAD	Difference
Max Drawdown Largest peak-to-trough decline	-67.02%	-22.04%	-44.98%
Max Drawdown (1Y) Largest decline over 1 year	-15.58%	-22.04%	+6.46%
Max Drawdown (3Y) Largest decline over 3 years	-27.13%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-57.35%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-64.75%	—	—
Current Drawdown Current decline from peak	-39.36%	-4.58%	-34.78%
Average Drawdown Average peak-to-trough decline	-22.20%	-6.32%	-15.88%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.45%	10.25%	-3.80%

Volatility

MCHFX vs. EUAD - Volatility Comparison

Matthews China Fund (MCHFX) has a higher volatility of 8.14% compared to Select STOXX Europe Aerospace & Defense ETF (EUAD) at 7.51%. This indicates that MCHFX's price experiences larger fluctuations and is considered to be riskier than EUAD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MCHFX	EUAD	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.14%	7.51%	+0.63%
Volatility (6M) Calculated over the trailing 6-month period	17.47%	24.44%	-6.97%
Volatility (1Y) Calculated over the trailing 1-year period	22.00%	29.18%	-7.18%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	29.94%	29.51%	+0.43%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	26.76%	29.51%	-2.75%

MCHFX vs. EUAD - Expense Ratio Comparison

MCHFX has a 1.12% expense ratio, which is higher than EUAD's 0.50% expense ratio.

Dividends

MCHFX vs. EUAD - Dividend Comparison

MCHFX's dividend yield for the trailing twelve months is around 1.38%, more than EUAD's 0.37% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
EUAD Select STOXX Europe Aerospace & Defense ETF	0.37%	0.40%	0.10%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
MCHFX Matthews China Fund	1.38%	1.36%	1.91%	0.78%	7.53%	6.54%	1.25%	1.12%	22.28%	10.31%	13.66%	19.24%

Frequently Asked Questions

Can I hold both MCHFX and EUAD in my portfolio?

MCHFX and EUAD have a correlation of 0.35, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MCHFX or EUAD?

MCHFX has higher volatility (8.14%) compared to EUAD (7.51%). In terms of maximum drawdown, MCHFX dropped -67.02% vs EUAD's -22.04%.

Which has better risk-adjusted returns?

EUAD currently has the higher Sharpe Ratio (0.41 vs 0.40), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.