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MATTHEWS CHINA FUND (Prospectus Summary) | MATTHEWS CHINA FUND
Matthews China Fund
Investment Objective
Long-term capital appreciation
Fees and Expenses of the Fund
This table describes the fees and expenses that you may pay if you buy and hold
shares of this Fund.
SHAREHOLDER FEES (fees paid directly from your investment)
Shareholder Fees
MATTHEWS CHINA FUND
Investor Class Shares
Redemption Fee (as a percentage of amount redeemed on shares held fewer than 90 days) 2.00%
ANNUAL OPERATING EXPENSES (expenses that you pay each year as a percentage of the value of your investment)
Annual Fund Operating Expenses
MATTHEWS CHINA FUND
Investor Class Shares
Management Fees 0.67%
Distribution (12b-1) Fees none
Administration and Shareholder Servicing Fees 0.16%
Other Expenses 0.48%
Total Annual Operating Expenses 1.15%
EXAMPLE OF FUND EXPENSES
This example is intended to help you compare the cost of investing in the Fund
with the cost of investing in other mutual funds. The example assumes that you
invest $10,000 in the Fund for the time periods indicated and then redeem all of
your shares at the end of those periods. The example also assumes that your
investment has a 5% return each year and that the Fund's operating expenses
remain the same. Although your actual costs may be higher or lower, based on
these assumptions your costs would be:
Expense Example (USD $)
Expense Example, With Redemption, 1 Year
Expense Example, With Redemption, 3 Years
Expense Example, With Redemption, 5 Years
Expense Example, With Redemption, 10 Years
MATTHEWS CHINA FUND Investor Class Shares
117 365 633 1,398
PORTFOLIO TURNOVER
The Fund pays transaction costs, such as commissions, when it buys and sells
securities (or "turns over" its portfolio). A higher portfolio turnover may
indicate higher transaction costs and may result in higher taxes when Fund
shares are held in a taxable account. These costs, which are not reflected in
annual fund operating expenses or in the example of fund expenses, affect the
Fund's performance. During the most recent fiscal year, the Fund's portfolio
turnover rate was 10% of the average value of its portfolio.
Principal Investment Strategy
Under normal market conditions, the Matthews China Fund seeks to achieve its
investment objective by investing at least 80% of its total net assets, which
include borrowings for investment purposes, in the common and preferred stocks
of companies located in China and Taiwan. China includes its administrative and
other districts, such as Hong Kong. A company is considered to be "located" in a
country if it (i) is organized under the laws of that country; (ii) derives at
least 50% of its revenues or profits from goods produced or sold, investments
made, services performed, or has at least 50% of its assets located within that
country; (iii) has the primary trading markets for its securities in that
country; or (iv) is a governmental entity or an agency, instrumentality or a
political subdivision of that country.
Principal Risks of Investment
Political, Social and Economic Risks: The value of the Fund's assets may be
adversely affected by political, economic, social and religious instability;
inadequate investor protection; changes in laws or regulations; international
relations with other nations; natural disasters; corruption and military
activity. The economies of China, Hong Kong and Taiwan may differ from the
economies of other countries, especially developed economies, in many respects,
such as rate of growth, inflation, capital reinvestment, resource
self-sufficiency, financial system stability, the national balance of payments
position and sensitivity to changes in global trade.

Currency Risks: When the Fund conducts securities transactions in a foreign
currency, there is the risk of the value of the foreign currency increasing or
decreasing against the value of the U.S. dollar. The value of an investment
denominated in a foreign currency will decline in dollar terms if that currency
weakens against the dollar. While the Fund is permitted to hedge currency risks,
Matthews does not anticipate doing so at this time. Additionally, China may
utilize formal or informal currency-exchange controls or "capital controls."
Capital controls may impose restrictions on the Fund's ability to repatriate
investments or income. Such controls may also affect the value of the Fund's
holdings.

Volatility: The smaller size and lower levels of liquidity in emerging markets,
as well as other factors, may result in changes in the prices of Asian
securities that are more volatile than those of companies in more developed
regions. This volatility can cause the price of the Fund's shares (NAV) to go up
or down dramatically. Because of this volatility, it is recommended that you
invest in the Fund only for the long term (at least five years).

Risks Associated with Emerging Markets: Many Asian countries are considered
emerging markets. Emerging markets are often less stable politically and
economically than developed markets such as the United States, and investing in
emerging markets involves different and greater risks. There may be less
publicly available information about companies in emerging markets. The stock
exchanges and brokerage industries of emerging markets do not have the level of
government oversight as do those in the United States. Securities markets of
such countries are substantially smaller, less liquid and more volatile than
securities markets in the United States.

Trading Markets and Depositary Receipts: Asian securities may trade in the form
of depositary receipts, including American, European and Global Depositary
Receipts. Although depositary receipts have risks similar to the securities that
they represent, they may also involve higher expenses and may trade at a
discount (or premium) to the underlying security. In addition, depositary
receipts may not pass through voting and other shareholder rights, and may be
less liquid than the underlying securities listed on an exchange.

Risks Associated with China, Hong Kong and Taiwan

China: The Chinese government exercises significant control over China's economy
through its industrial policies (e.g., allocation of resources and other
preferential treatment), monetary policy, management of currency exchange rates,
and management of the payment of foreign currency-denominated obligations.
Changes in these policies could adversely impact affected industries or
companies. China's economy, particularly its export-oriented industries, may be
adversely impacted by trade or political disputes with China's major trading
partners, including the U.S. In addition, as its consumer class emerges, China's
domestically oriented industries may be especially sensitive to changes in
government policy and investment cycles.

Hong Kong: If China were to exert its authority so as to alter the economic,
political or legal structures or the existing social policy of Hong Kong,
investor and business confidence in Hong Kong could be negatively affected,
which in turn could negatively affect markets and business performance and have
an adverse effect on the Funds' investments.

Taiwan: The continuing hostility between China and Taiwan may have an adverse
impact on the values of investments in either China or Taiwan, or make
investments in China and Taiwan impractical or impossible.
Past Performance
The bar chart below shows the Fund's performance for the past 10 years and how
it has varied from year to year, reflective of the Fund's volatility. Also shown
are the best and worst quarters for this time period. The table below shows the
Fund's performance over certain periods of time, along with performance of its
benchmark index. The index performance does not take into consideration fees,
expenses or taxes. The information presented below is past performance, before
and after taxes, and is not a prediction of future results. Both the bar chart
and performance table assume reinvestment of all dividends and distributions.
For the Fund's most recent month-end performance, please visit matthewsasia.com
or call 800.789.2742.
The bar chart below shows the Fund's performance for the past 10 years and how
it has varied from year to year, reflective of the Fund's volatility.
ANNUAL RETURNS FOR YEARS ENDED 12/31
Bar Chart
Best Quarter
Q2 2009
34.28%

Worst Quarter
Q3 2001
-27.11%
AVERAGE ANNUAL TOTAL RETURNS FOR PERIODS ENDED DECEMBER 31, 2010
Average Annual Total Returns MATTHEWS CHINA FUND
Average Annual Returns, Label
Average Annual Returns, 1 Year
Average Annual Returns, 5 Years
Average Annual Returns, 10 Years
Average Annual Returns, Since Inception
Average Annual Returns, Inception Date
Investor Class Shares
Matthews China Fund Return before taxes 15.77% 24.20% 19.73% 13.70% Feb. 19, 1998
Investor Class Shares After Taxes on Distributions
Matthews China Fund Return after taxes on distributions [1] 15.67% 22.88% 18.81% 12.74% Feb. 19, 1998
Investor Class Shares After Taxes on Distributions and Sales
Matthews China Fund Return after taxes on distributions and sale of Fund shares [1] 10.38% 21.07% 17.63% 11.94% Feb. 19, 1998
MSCI China Index
MSCI China Index 4.83% 20.58% 14.21% 4.20% Feb. 28, 1998
[1] After-tax returns are calculated using the highest historical individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor's tax situation and may differ from those shown. After-tax returns shown are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts.