- Launch of free float adjusted versions of the China A Shares Indexes
- Created in response to demand from mainland Chinese investors
- Comprehensive and representative benchmarks of the China A Share market
- Indexes incorporate stocks listed on Shanghai and Shenzhen Stock Exchanges including the ChiNext Board*
- FTSE Russell China benchmarks widely recognised by international investors as the leading measure of the China equity market
FTSE Russell has today launched the FTSE China A Free Indexes** in response to demand from mainland Chinese investors for a domestic version of the FTSE China A Indexes, which will eventually be included in FTSE Russell’s global indexes.
The FTSE China A Free Indexes offer a free float adjusted version of the FTSE China A Indexes used by international investors. Like the FTSE China A Indexes, the FTSE China A Free Indexes are comprehensive and representative benchmarks of the China A Shares market, incorporating stocks listed on the Shanghai and Shenzhen Stock Exchange’s including the ChiNext Board*. However the FTSE China A Free Indexes will not apply foreign ownership limits, and therefore accurately reflect the Chinese market for domestic investors.
As of 27 April 2017, the FTSE China A All Cap Free Index had 1912 constituents, representing US$2.3 trillion of investible market capitalisation.
In 2014, FTSE Russell launched its FTSE Global China A Inclusion Indexes as a transitional tool for international investors in preparation for the eventual inclusion of China A Shares in its widely followed global benchmarks. China A Shares remain on the FTSE Watch List for possible inclusion as a Secondary Emerging market.
FTSE Russell also recently launched the FTSE China A Stock Connect Indexes, which track the eligible mainland A Shares available to trade through the Shanghai-Hong Kong Stock Connect Programme and the Shenzhen-Hong Kong Stock Connect Programme. The indexes adopt the usual size and liquidity screening consistent with the FTSE China A Index Series.
Jessie Pak, Managing Director, Asia, FTSE Russell, said:
“FTSE Russell has a strong track record of delivering accurate benchmarks that capture a true representation of the market and we are delighted to extend our offering by launching the FTSE China A Free Indexes. Responding to specific demand from mainland Chinese investors, the launch of these free float adjusted indexes builds on FTSE China A Indexes that have proven so popular with international investors.”
With a strong track record in developing China market indexes, FTSE Russell China benchmarks are widely recognised by international investors and issuers globally as the leading measure of the China equity market and the natural choice for creating China-focused investment products. The broad spectrum of market benchmarks and well known tradable indexes, cover all sectors and Chinese share types, a range of asset classes and various market exposure themes including style, dividend yield, and domestic and global exposure indexes.
More information on our broad range of FTSE Russell China benchmarks can be found on our website.
Ed Clark +44 (0)20 7797 1222
Tim Benedict +1 212 314 1199
Hong Kong: Fennie Wong +852 2164 3267
Sydney: Laura McCrackle +61 2 8823 3526
Notes to editors:
*The ChiNext Board was created by the Shenzhen Stock Exchange in 2009 to attract listings from innovative and fast-growing Chinese firms, including high-tech companies. As of 19 April 2017, the ChiNext Board comprised of 626 listings with a total market capitalisation of US$745 billion, 22% of the Shenzhen Stock Exchange.
Source: Shenzhen Stock Exchange website. www.szse.cn
**List of FTSE China A Free Indexes Launched:
• FTSE China A Large Cap Free Index
• FTSE China A Mid Cap Free Index
• FTSE China A Small Cap Free Index
• FTSE China A Free Index
• FTSE China A All Cap Free Index
Sector indexes are also available
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FTSE Russell index expertise and products are used extensively by institutional and retail investors globally. More than $15 trillion is currently benchmarked to FTSE Russell indexes. For over 30 years, leading asset owners, asset managers, ETF providers and investment banks have chosen FTSE Russell indexes to benchmark their investment performance and create investment funds, ETFs, structured products and index-based derivatives. FTSE Russell indexes also provide clients with tools for asset allocation, investment strategy analysis and risk management.
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