<p><strong>A-Shares</strong> are a type of equity in the Chinese stock market, traded on the Shanghai and Shenzhen Stock Exchanges. They are denominated in Renminbi (RMB) and are available for both domestic and foreign investors.</p>

<h2>How It Works</h2>
<p>Before 2002, foreign investors were not allowed to directly buy A-Shares. However, since then, several programs have been introduced to facilitate foreign participation:</p>
<ul>
  <li><strong>Qualified Foreign Institutional Investor (QFII) Scheme</strong>: Allows foreign investors to buy A-Shares up to a certain quota.</li>
  <li><strong>Shanghai-Hong Kong Stock Connect</strong>: Enables investors in Hong Kong to trade A-Shares and vice versa.</li>
  <li><strong>Shenzhen-Hong Kong Stock Connect</strong>: Similar to the above, but connects the Shenzhen Stock Exchange with Hong Kong.</li>
</ul>

<h2>Why It Matters</h2>
<p>A-Shares represent a significant portion of the Chinese equity market, offering exposure to the world's second-largest economy. However, they can be volatile due to factors like regulatory changes and market sentiment. For instance, in 2015, the Chinese stock market experienced a significant crash, with A-Shares being among the hardest hit.</p>