Fidelity Joins Invesco, Schwab in Adding China Warnings to Funds

Fidelity Investments joined a growing list of money managers warning of potential losses tied to some of China’s largest companies, including Alibaba Group Holding Ltd. and JD.com Inc.

The Boston-based asset manager updated prospectuses for the Strategic Advisers Fidelity Emerging Markets Fund and four exchange-traded funds this month to add a risk factor on companies structured as variable interest entities, also known as VIEs.

At least 10 other fund companies, including J.P. Morgan International Equity Funds, Invesco Ltd. and Charles Schwab Corp., have taken similar action since Gary Gensler, chairman of the U.S. Securities and Exchange Commission, in July ...