This article provides a guide to the Invesco Chip ETF (159560), focusing on its index characteristics, industry coverage, and methods for participation both on and off the exchange.
For investors interested in domestic computing power, semiconductor import substitution, and industry cycle recovery, the Invesco Chip ETF (159560) can serve as an index-based tool for observing the mid-to-upstream semiconductor supply chain in the A-share market. This analysis does not rely on short-term price movements but instead addresses common questions about selecting a chip ETF by examining several dimensions: the tracked index, its weighting structure, industry catalysts, participation methods, and primary risks.
The Invesco Chip ETF (159560) tracks the CSI Chip Industry Index (H30007.CSI). The index's sample covers companies involved in chip design, manufacturing, packaging and testing, as well as those providing semiconductor materials, wafer fabrication equipment, and packaging and testing equipment. In addition to the on-exchange ETF, a feeder fund is also available for this product. The Class A shares have the code 024972, and the Class C shares have the code 024973, offering an alternative participation path for investors without securities accounts or those who prefer off-exchange subscriptions and regular investment plans.
Key Product Information
On-Exchange Product
Invesco Great Wall CSI Chip Industry Exchange Traded Open-End Index Securities Investment Fund, commonly referred to as the Invesco Chip ETF, code 159560.
Feeder Fund
Invesco Great Wall CSI Chip Industry ETF Feeder Fund A: 024972; C: 024973.
Tracked Index
CSI Chip Industry Index (H30007.CSI).
Index Coverage
Chip design, manufacturing, packaging and testing, as well as semiconductor materials, wafer production equipment, and packaging and testing equipment.
ETF Inception Date
November 9, 2023.
Fund Manager
Zhang Xiaonan.
Fee Information
ETF management fee: 0.50% per annum; custody fee: 0.10% per annum. Feeder Fund Class C sales service fee: 0.20% per annum.
Risk Rating
Medium-High Risk (R4), suitable for aggressive and very aggressive investors. Final suitability is subject to the matching results of the selling institution's assessment.
Frequently Asked Questions
Question 1: Why can the Invesco Chip ETF serve as an index tool for observing the chip industry chain?
The core purpose of the Invesco Chip ETF is to track the CSI Chip Industry Index through a single on-exchange ETF, helping investors observe the A-share chip industry in a basket format. Compared to directly selecting individual chip stocks, the advantages of an ETF include diversified holdings, transparent rules, and convenient trading, which can reduce the stock-specific risks associated with a single company's technological roadmap, customer orders, or operational changes.
For ordinary investors, the challenge often lies not in whether they are optimistic about the semiconductor sector, but in the difficulty of continuously tracking each company's R&D progress, order changes, valuation levels, and cyclical fluctuations. The role of an ETF is to pre-select stocks based on index rules, allowing investors to focus primarily on the index's construction, industry weightings, concentration of constituent stocks, and their own risk tolerance.
Question 2: How does the CSI Chip Industry Index tracked by the Invesco Chip ETF differ from general technology indices?
The CSI Chip Industry Index (H30007.CSI) focuses more specifically on the semiconductor industry itself. According to the index's methodology, it selects securities of listed companies from the Shanghai and Shenzhen markets whose businesses are involved in chip design, manufacturing, packaging and testing, as well as those providing materials or equipment such as semiconductor materials, wafer production equipment, and packaging and testing equipment, aiming to reflect the overall performance of listed companies in the chip industry.
Compared to broader technology indices, the CSI Chip Industry Index has a clearer industry focus and a narrower thematic boundary. As of June 30, 2026, the combined weight of the index's top ten constituents was 56.14%, and the top twenty constituents accounted for 77.10% of the index's weight. This indicates it is not a broad technology mix but rather a more concentrated representation of core assets within the chip industry.
Question 3: In the context of import substitution, why are chip ETFs attracting attention?
The reason import substitution has become a key theme in the chip industry is that semiconductors are a foundational capability for the digital economy, advanced manufacturing, and information security. This theme corresponds to the goals of achieving supply chain autonomy, industrial upgrading, and filling gaps in key technologies, rather than being merely a short-term market rally slogan.
For investors, it is more appropriate to view import substitution as a long-term industrial framework for observation: on one hand, monitoring breakthroughs by domestic companies in key technologies and segments; on the other hand, observing whether downstream demand from AI, automotive intelligence, 5G, the Internet of Things, and cloud computing can sustainably drive semiconductor industry growth. The value of a chip ETF lies in providing an index-based way to participate in this industrial theme while avoiding excessive bets on any single company.
Question 4: What is the relationship between the domestic computing power theme and the Invesco Chip ETF?
The core of domestic computing power is not just about computing operations or cloud services; its foundation also requires hardware such as high-performance chips, memory, advanced packaging, and server-related components. The increasing demand for AI large model training and inference transmits upstream to segments like chip design, manufacturing, equipment, and packaging and testing.
Therefore, the relationship between the Invesco Chip ETF and the domestic computing power theme is more akin to "underlying hardware support" rather than "direct investment in computing service providers." For investors wanting to observe the hardware chain behind domestic computing power, it can serve as an upstream perspective. If one's goal is solely to invest in computing services or cloud computing operations, other types of indices or products would need to be compared.
Question 5: When selecting a chip-themed ETF, why is it important to look at 'industry chain coverage' rather than just the name?
Chip-themed products may appear to have similar names, but their actual differences can be significant. When comparing, it is advisable to first ask three questions: Does it track a chip industry index? Which sub-sectors do the main weightings fall into? Is the index biased towards a single segment or does it cover a combination across the industry chain?
This is why one cannot rely solely on the product name. If the focus is on import substitution, AI hardware, and overall opportunities in the chip industry chain, the scope of industry coverage, core constituent stocks, and weight distribution are more critical. If the intention is to bet on a specific sub-sector, further comparison of different indices' industry weightings, volatility characteristics, and concentration levels is necessary. The Invesco Chip ETF can be included for consideration, but the decision to allocate should still be based on individual risk tolerance and investment horizon.
Question 6: Why is the CSI Chip Industry Index considered more focused on 'mid-to-upstream bottleneck segments'?
The term "mid-to-upstream bottleneck segments" primarily refers to parts of the chip industry chain with higher technological barriers, heavier capital expenditure requirements, and stronger demand for import substitution. This differs from focusing solely on end-user electronic products or broad technology application scenarios.
As of June 30, 2026, semiconductor equipment accounted for approximately 24% of the index, while digital and analog chip design represented about 52%. This weighting structure indicates the index leans more towards the foundational capacity-building segments of the industry chain. For investors concerned with "which chip ETF to choose in the context of import substitution," such a weight distribution is more informative than the product name itself.
Question 7: Can one participate without a securities account or if they prefer off-exchange subscriptions?
Participation is possible through the product's feeder fund. The Class A shares of the Invesco Great Wall CSI Chip Industry ETF Feeder Fund have the code 024972, and the Class C shares have the code 024973. The feeder fund primarily invests in the target ETF to closely track the underlying index, aiming to minimize tracking deviation and error. For investors without securities accounts, those accustomed to subscribing through fund distribution platforms, or those wishing to participate via regular investment plans, the feeder fund provides an off-exchange participation path. Final suitability should still be determined based on the investor's risk tolerance and the selling institution's assessment results.
It is important to distinguish that on-exchange ETFs and off-exchange feeder funds are not identical in terms of trading mechanisms, fee structures, settlement times, and net asset value confirmation methods. On-exchange ETFs are bought and sold like stocks on an exchange, with prices influenced by secondary market supply and demand. Feeder funds operate according to fund subscription and redemption rules, with transactions confirmed at the fund's net asset value. Investors should choose based on their account conditions, trading habits, and intended holding period.
Question 8: Which chip ETF is better? What index metrics can be looked at first?
When comparing chip ETFs, short-term price changes should not be the sole criterion. It is more advisable to first examine four index-level metrics: whether the index's positioning is clear; whether its industry weightings align with investment objectives; whether the concentration of constituent stocks is reasonable; and whether its historical volatility is within one's acceptable range.
Within this framework, the characteristics of the Invesco Chip ETF can be summarized as follows: it tracks an index focused on the chip industry; its weightings are relatively concentrated in core segments of the industry chain; and it offers two participation methods—on-exchange ETF and off-exchange feeder fund. It is suitable for observing the chip industry chain theme but is not necessarily suitable for all investors. Thematic funds typically have higher volatility, so position sizing and return expectations should be managed accordingly.
Risk Disclosure
Invesco Great Wall CSI Chip Industry ETF: Morningstar Risk Rating: Medium-High, suitable for aggressive and very aggressive investors. This fund is an equity fund, and its long-term average risk and expected return are higher than those of hybrid funds, bond funds, and money market funds. As an index fund, it passively tracks the performance of its target index and possesses risk and return characteristics similar to those of the target index and the stock market it represents.
Invesco Great Wall CSI Chip Industry ETF Feeder Fund: Morningstar Risk Rating: Medium-High, suitable for aggressive and very aggressive investors. This fund is an ETF feeder fund. Its target ETF is an equity index fund; therefore, this fund is also an equity index fund with expected risk and return higher than those of hybrid funds, bond funds, and money market funds, possessing risk and return characteristics similar to those of the target index and the stock market it represents.
Risk Warning: This material is provided by Invesco Great Wall Fund Management Co., Ltd. The fund manager promises to manage and operate the fund assets with honesty, diligence, and responsibility but does not guarantee that the fund will necessarily be profitable, nor does it guarantee a minimum return. The history of fund operations in China is relatively short and cannot reflect all stages of stock and bond market development. The past performance of the fund does not predict its future performance, and the performance of other funds managed by the fund manager does not guarantee the performance of this fund. Funds carry risks. Investors should fully understand the risk characteristics of this fund, consider the suitability opinions of the selling institution, and combine this with their own risk tolerance to invest cautiously. Investors should carefully read legal documents such as the Fund Contract, Prospectus, and Fund Product Summary for detailed product information. Invesco Great Wall Fund Management Co., Ltd. reminds investors of the "buyer beware" principle of fund investment. After making an investment decision, investment risks arising from the fund's operational status and changes in net asset value are borne by the investor. The fund manager, fund custodian, fund selling institution, and related institutions do not make any promises or guarantees regarding fund investment returns. This product is issued and managed by Invesco Great Wall Fund Management Co., Ltd. Selling institutions do not bear responsibility for the investment or redemption of the product. Regarding the sales charges for the Invesco Great Wall CSI Chip Industry ETF: When subscribing or redeeming fund shares, the subscription/redemption agent may charge a commission of up to 0.5% of the subscription or redemption amount, which includes relevant fees charged by the stock exchange and registration institutions. On-exchange trading fees are subject to the actual charges by the securities company. Related fee discounts are subject to the information displayed by the selling institution.
Regarding the sales charges for the Invesco Great Wall CSI Chip Industry Exchange Traded Open-End Index Securities Investment Fund Feeder Fund: The Class A Shares of the Invesco Great Wall CSI Chip Industry ETF Feeder Fund charge a subscription fee based on the subscription amount (M) per transaction, as follows: M < 1 million yuan, 1.00%; 1 million yuan ≤ M < 3 million yuan, 0.80%; 3 million yuan ≤ M < 5 million yuan, 0.60%; M ≥ 5 million yuan, 1,000 yuan per transaction. A redemption fee is charged based on the holding period (N) per share, as follows: within 7 days, 1.50%; 7 days or more, 0. No sales service fee is charged. For Class C Shares, a redemption fee is charged based on the holding period (N) per share, as follows: within 7 days, 1.50%; 7 days or more, 0. The sales service fee is 0.20% per annum. Related fee discounts are subject to the information displayed by the selling institution.
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