ETF Versus

EWJ vs MCHI

iShares MSCI Japan ETF vs iShares MSCI China ETF

Last updated: 2026-04-02

EWJ

iShares MSCI Japan ETF (EWJ) is an exchange-traded fund that provides exposure to japan equity securities. It charges an above-average expense ratio of 0.49%. The fund offers a high dividend yield of 4.22%. Launched in 1996, the fund has a 30-year track record.

AUM: $18.0B ER: 0.49% Yield: 4.22% Since: Mar 12, 1996

iShares MSCI China ETF (MCHI) is an exchange-traded fund that provides exposure to china equity securities. It charges a high expense ratio of 0.59%. The fund offers a moderate dividend yield of 2.27%. Launched in 2011, the fund has a 15-year track record.

AUM: $6.5B ER: 0.59% Yield: 2.27% Since: Mar 29, 2011

Quick Verdict

EWJ is significantly cheaper at 0.49% vs 0.59% expense ratio, saving you approximately $191 per $10,000 invested over 10 years. Over the past year, EWJ has significantly outperformed with a 26.8% return vs 2.7%. Income investors may prefer EWJ for its higher yield (4.2% vs 2.3%).

Key Metrics

Metric EWJ MCHI
Expense Ratio 0.49% 0.59%
Dividend Yield 4.2% 2.3%
Fund Family N/A N/A
Category Japan Equity China Equity

Performance Chart

Indexed to 100 at start (5-year comparison)

40 59 78 97 116 135 2021-04 2022-06 2023-09 2024-12 2026-04
EWJ +23.6%
MCHI -32.6%

Performance Comparison

Period EWJ MCHI Difference
1 Month -4.12% -4.29% +0.17%
3 Months +6.33% -10.03% +16.36%
6 Months +5.75% -15.85% +21.60%
YTD +6.33% -10.03% +16.36%
1 Year +26.80% +2.66% +24.14%
3 Years +46.68% +12.27% +34.41%
5 Years +23.58% -32.61% +56.19%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period EWJ Fees MCHI Fees You Save
$10.000 10 years $960 $1.151 $191
$10.000 20 years $4.052 $4.837 $785
$10.000 30 years $12.832 $15.249 $2.417
$50.000 10 years $4.799 $5.754 $955
$50.000 30 years $64.162 $76.247 $12.085
$100.000 30 years $128.324 $152.494 $24.171

Risk Metrics

Based on 5 years of daily returns

Metric EWJ MCHI
Annualized Volatility 18.3% 30.8%
Max Drawdown -34.6% -57.7%
Sharpe Ratio 0.08 -0.25

Dividend Comparison

Metric EWJ MCHI
Annual Dividend (per share) $3.65 $1.27
Dividend Yield 4.22% 2.27%
Distribution Frequency Semi-Annual or Annual Semi-Annual or Annual

Top Holdings

0 of top 10 holdings overlap (0% overlap in top holdings)

EWJ Top Holdings

NameWeight
Toyota Motor Corporation!tyo/72034.27%
Mitsubishi UFJ Financial Group, Inc.!tyo/83064.05%
Hitachi, Ltd.!tyo/65012.86%
Sony Group Corporation!tyo/67582.61%
Sumitomo Mitsui Financial Group, Inc.!tyo/83162.54%
Mitsubishi Corporation!tyo/80582.46%
Tokyo Electron Limited!tyo/80352.33%
Advantest Corporation!tyo/68572.23%
Mitsui & Co., Ltd.!tyo/80312.14%
Mizuho Financial Group, Inc.!tyo/84112.10%

MCHI Top Holdings

NameWeight
Tencent Holdings Limited!hkg/070015.25%
Alibaba Group Holding Limited!hkg/998810.18%
China Construction Bank Corporation!hkg/09393.75%
Xiaomi Corporation!hkg/18102.74%
PDD Holdings Inc.PDD2.68%
Industrial and Commercial Bank of China Limited!hkg/13982.08%
Meituan!hkg/36902.06%
Ping An Insurance (Group) Company of China, Ltd.!hkg/23181.92%
BYD Company Limited!hkg/12111.90%
Bank of China Limited!hkg/39881.67%

Which One Should You Choose?

Choose EWJ if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose EWJ if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

Choose EWJ if...

you prioritize dividend income and want higher regular distributions from your portfolio.

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