MCHS vs. DRGN

Last updated Jul 14, 2026

MCHS (Matthews China Discovery Active ETF) and DRGN (Themes China Generative Artificial Intelligence ETF) are both China Equities funds. MCHS is actively managed, while DRGN is passively managed. A 0.68 correlation means they provide meaningful diversification when combined. MCHS charges 0.89%/yr vs 0.39%/yr for DRGN.

Performance

MCHS vs. DRGN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Matthews China Discovery Active ETF (MCHS) and Themes China Generative Artificial Intelligence ETF (DRGN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MCHS achieves a 38.84% return, which is significantly higher than DRGN's 13.24% return.

MCHS

• 1D: -4.85%
• 1M: 1.25%
• 6M: 30.55%
• YTD: 38.84%
• 1Y: 57.44%
• 3Y*: —
• 5Y*: —
• 10Y*: —

DRGN

• 1D: -4.05%
• 1M: 4.96%
• 6M: -2.23%
• YTD: 13.24%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

MCHS vs. DRGN - Yearly Performance Comparison

	2026 (YTD)	2025
MCHS Matthews China Discovery Active ETF	38.84%	11.07%
DRGN Themes China Generative Artificial Intelligence ETF	13.24%	26.96%

Correlation

The correlation between MCHS and DRGN is 0.68, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jul 15, 2025	0.68

Return for Risk

MCHS vs. DRGN — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

MCHS

MCHS Risk / Return Rank: 81
MCHS Sharpe Ratio Rank: 82
MCHS Sortino Ratio Rank: 72
MCHS Omega Ratio Rank: 79
MCHS Calmar Ratio Rank: 88
MCHS Martin Ratio Rank: 82

DRGN

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

MCHS vs. DRGN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Matthews China Discovery Active ETF (MCHS) and Themes China Generative Artificial Intelligence ETF (DRGN). 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.

	MCHS	DRGN	Difference
Sharpe ratio: Return per unit of total volatility	2.06	—	—
Sortino ratio: Return per unit of downside risk	2.60	—	—
Omega ratio: Gain probability vs. loss probability	1.37	—	—
Calmar ratio: Return relative to maximum drawdown	4.03	—	—
Martin ratio: Return relative to average drawdown	12.66	—	—

Drawdowns

MCHS vs. DRGN - Drawdown Comparison

The maximum MCHS drawdown since its inception was -23.75%, which is greater than DRGN's maximum drawdown of -20.86%. Use the drawdown chart below to compare losses from any high point for MCHS and DRGN.

Drawdown Indicators

	MCHS	DRGN	Difference
Max Drawdown Largest peak-to-trough decline	-23.75%	-20.86%	-2.89%
Max Drawdown (1Y) Largest decline over 1 year	-14.32%	—	—
Current Drawdown Current decline from peak	-14.32%	-9.69%	-4.63%
Average Drawdown Average peak-to-trough decline	-7.51%	-8.16%	+0.65%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.55%	—	—

Volatility

Volatility by Period

	MCHS	DRGN	Difference
Volatility (1M) Calculated over the trailing 1-month period	16.37%	—	—
Volatility (6M) Calculated over the trailing 6-month period	24.99%	—	—
Volatility (1Y) Calculated over the trailing 1-year period	28.02%	35.86%	-7.84%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	29.75%	35.86%	-6.11%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	29.75%	35.86%	-6.11%

MCHS vs. DRGN - Expense Ratio Comparison

MCHS has a 0.89% expense ratio, which is higher than DRGN's 0.39% expense ratio.

Dividends

MCHS vs. DRGN - Dividend Comparison

MCHS's dividend yield for the trailing twelve months is around 2.57%, more than DRGN's 1.07% yield.

Position	TTM	2025	2024
DRGN Themes China Generative Artificial Intelligence ETF	1.07%	1.22%	0.00%
MCHS Matthews China Discovery Active ETF	2.57%	3.56%	5.48%

Frequently Asked Questions

Can I hold both MCHS and DRGN in my portfolio?

MCHS and DRGN have a correlation of 0.68, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, MCHS or DRGN?

On fees, DRGN is cheaper at 0.39% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, MCHS or DRGN?

DRGN is cheaper with a 0.39% expense ratio, compared with 0.89% for MCHS.

Which ETF pays a higher dividend yield, MCHS or DRGN?

MCHS has the higher dividend yield at 2.57%, compared with 1.07% for DRGN.

What is the main difference between MCHS and DRGN?

They also come from different issuers: Matthews and Themes. Their fees differ too: 0.89% for MCHS and 0.39% for DRGN.