Earlier today we noted how Chinese ADRs have been steadily outperforming their mainland peers on a year to date basis. Following the rout in mainland shares overnight, the trend of ADR outperformance appears to be continuing. Even though the Shanghai Composite was down 6.74% overnight, our basket of Chinese ADRs was only down half that with a relatively modest loss of 3.39%. With all the talk of how the Chinese stock market was the place to be earlier in the year, the real action was right here in the US with Chinese ADRs. First, they went up more than their local mainland counterparts, and now they have held up better in the downturn.