Latest news with #ChiNextIndex
Korea Herald
13-06-2025
- Business
- Korea Herald
Post-Adjustment ChiNext Index Attracts Global Assets with Low Valuation and High Growth Potential
GUANGZHOU, China, June 13, 2025 /PRNewswire/ -- Starting June 16, the ChiNext Index will implement methodology adjustments, including a 20% cap on individual stock weights and an ESG negative screening mechanism, aiming to enhance the index's focus on high-growth, innovative firms while aligning with global standards. As of June 10, ETFs tracking the ChiNext Index held more than US$ 16.1 billion in assets, led by the E Fund ChiNext ETF (159915) accounting for US$ 11.6 billion under E Fund Management, China's largest mutual fund manager. Launched in 2010, the ChiNext Index, comprising 100 growth-oriented and innovative enterprises listed on the ChiNext Board, has undergone 53 revisions, reflecting China's economic transformation. The latest changes will further optimize its structure to emphasize emerging growth sectors –new-generation information technology (34%), new energy vehicle (24%) and healthcare (12%), underscoring its alignment with China's strategic shift toward high-tech innovation. According to Wind, its constituent companies have posted revenue growth of 9.5% YoY and ROE exceeding 12.5% in Q1 2025, demonstrating resilient profitability and breakthroughs in AI chips, EV batteries, and precision medicine. Valuation metrics reinforced appeal: the index trades at a 31x P/E ratio as of June 10, near the 10th percentile since its listing. By curbing concentration risks and embedding ESG criteria, the reforms strengthen the index's role in reflecting industrial evolution in China and global investment trends. International participation has surged through cross-border channels like Stock Connect, QFII, and feeder funds listed on foreign exchanges. The E Fund ChiNext ETF (159915), the largest among related ETFs, has consistently been the preferred instrument for international investors seeking exposure to China's tech-driven growth since its inclusion in the ETF Connect program in 2022, Over the past year, the fund has drawn in approximately US$ 2.55 billion, highlighting its appeal as a pivotal option in China's equity ETF market. About E Fund Established in 2001, E Fund Management Co., Ltd. ("E Fund") is a leading comprehensive mutual fund manager in China with over RMB 3.5 trillion (USD 497 billion) under management.* It offers investment solutions to onshore and offshore clients, helping clients achieve long-term sustainable investment performances. E Fund's clients include both individuals and institutions, ranging from central banks, sovereign wealth funds, social security funds, pension funds, insurance and reinsurance companies, to corporates and banks. Long-term oriented, it has been focusing on the investment management business since inception and believes in the power of in-depth research and time in investing. It is a pioneer and leading practitioner in responsible investments in China and is widely recognized as one of the most trusted and outstanding Chinese asset managers. Source: E Fund. AuM includes subsidiaries. Data as of March 31, 2025. FX rate is sourced from PBoC.
Yahoo
13-06-2025
- Business
- Yahoo
Post-Adjustment ChiNext Index Attracts Global Assets with Low Valuation and High Growth Potential
GUANGZHOU, China, June 13, 2025 /PRNewswire/ -- Starting June 16, the ChiNext Index will implement methodology adjustments, including a 20% cap on individual stock weights and an ESG negative screening mechanism, aiming to enhance the index's focus on high-growth, innovative firms while aligning with global standards. As of June 10, ETFs tracking the ChiNext Index held more than US$ 16.1 billion in assets, led by the E Fund ChiNext ETF (159915) accounting for US$ 11.6 billion under E Fund Management, China's largest mutual fund manager. Launched in 2010, the ChiNext Index, comprising 100 growth-oriented and innovative enterprises listed on the ChiNext Board, has undergone 53 revisions, reflecting China's economic transformation. The latest changes will further optimize its structure to emphasize emerging growth sectors –new-generation information technology (34%), new energy vehicle (24%) and healthcare (12%), underscoring its alignment with China's strategic shift toward high-tech innovation. According to Wind, its constituent companies have posted revenue growth of 9.5% YoY and ROE exceeding 12.5% in Q1 2025, demonstrating resilient profitability and breakthroughs in AI chips, EV batteries, and precision medicine. Valuation metrics reinforced appeal: the index trades at a 31x P/E ratio as of June 10, near the 10th percentile since its listing. By curbing concentration risks and embedding ESG criteria, the reforms strengthen the index's role in reflecting industrial evolution in China and global investment trends. International participation has surged through cross-border channels like Stock Connect, QFII, and feeder funds listed on foreign exchanges. The E Fund ChiNext ETF (159915), the largest among related ETFs, has consistently been the preferred instrument for international investors seeking exposure to China's tech-driven growth since its inclusion in the ETF Connect program in 2022, Over the past year, the fund has drawn in approximately US$ 2.55 billion, highlighting its appeal as a pivotal option in China's equity ETF market. About E Fund Established in 2001, E Fund Management Co., Ltd. ("E Fund") is a leading comprehensive mutual fund manager in China with over RMB 3.5 trillion (USD 497 billion) under management.* It offers investment solutions to onshore and offshore clients, helping clients achieve long-term sustainable investment performances. E Fund's clients include both individuals and institutions, ranging from central banks, sovereign wealth funds, social security funds, pension funds, insurance and reinsurance companies, to corporates and banks. Long-term oriented, it has been focusing on the investment management business since inception and believes in the power of in-depth research and time in investing. It is a pioneer and leading practitioner in responsible investments in China and is widely recognized as one of the most trusted and outstanding Chinese asset managers. Source: E Fund. AuM includes subsidiaries. Data as of March 31, 2025. FX rate is sourced from PBoC. View original content to download multimedia: SOURCE E Fund Management
RTHK
23-05-2025
- Business
- RTHK
HK stocks inch up amid US fiscal fears
HK stocks inch up amid US fiscal fears The Hang Seng Index rose 13.07 points, or 0.06 percent, to 23,557.30 in opening trades for the day. File photo: RTHK Asian shares made tentative gains on Friday as beaten-down Treasuries found buyers after US President Donald Trump's tax bill narrowly passed the lower house, although debt worries still lingered. In Hong Kong, the benchmark Hang Seng Index had a flat opening, rising a mere 13.07 points, or 0.06 percent, to 23,557.38. Across the border, the benchmark Shanghai Composite Index was down 0.1 percent to open at 3,376.87. The Shenzhen Component Index opened 0.09 percent lower at 10,210.62. The ChiNext Index, tracking China's Nasdaq-style board of growth enterprises, was down 0.12 percent to open at 2,043.2. Australian shares edged higher, as gains in energy and bank stocks offset losses in miners and gold, with investors closing out a week shaped by the Reserve Bank of Australia's second interest rate cut in more than four years. Overnight, purchasing managers' index data around the globe showed US business activity picked up pace in May, which helped Wall Street rise earlier yesterday before running into selling pressures and closing the day largely flat. In contrast, disappointingly weak activity in Europe dragged shares there lower. Nasdaq futures and S&P 500 futures both were flat. The Republican-controlled US House voted by a slim margin to pass Trump's tax cut bill, which would fulfil many of his campaign pledges, but will increase the US$36.2 trillion US debt pile by US$3.8 trillion over the next decade. Treasury yields, especially at the longer-dated end, have climbed on worries about US fiscal health in the run-up to the passage of the bill. That was exacerbated by the decision from Moody's last week to downgrade the US credit rating, citing rising debt. In Asia, yields on super-long Japanese government bonds held near all-time highs on Friday. The 30-year yields have jumped 23 basis points this week and were last at 3.175 per cent, which is being monitored closely by the Bank of Japan. The MSCI's broadest index of Asia-Pacific shares outside Japan inched up 0.1 per cent on Friday but for the week it is still set for a loss of 0.4 per cent after five weeks of gains. (Reuters/Xinhua)
RTHK
16-05-2025
- Business
- RTHK
Hang Seng Index slips amid mixed market openings
Hang Seng Index slips amid mixed market openings The Hang Seng Index lost 204 points, or 0.87 percent, to open at 23,249.16 for the day. File photo: RTHK The Hang Seng Index fell 204 points, or 0.87 percent, to open at 23,249.16 on Friday. The retreat came as stocks across the border started lower, with the benchmark Shanghai Composite Index losing 0.18 percent to 3,374.71 in opening trades. The Shenzhen Component Index opened 0.28 percent lower at 10,157.68. The ChiNext Index, tracking China's Nasdaq-style board of growth enterprises, was down 0.36 percent to open at 2,035.87. The region got off to a good start with Australian shares jumping to an over two-month high, led by gains in banks and miners, ahead of the Reserve Bank of Australia's policy decision next week, when the central bank is widely expected to cut interest rates. The S&P/ASX 200 index rose as much as 1.2 percent to 8,398.2, its highest level since February 20. The index was on track to log its eighth consecutive session of gains. The Nikkei Stock Average opened at 37,748.58, down 6.93 points, or 0.02 percent. The Korea Composite Stock Price Index opened at 2,630.64, up 9.28 points, or 0.35 percent.(Xinhua/Reuters)
RTHK
08-05-2025
- Business
- RTHK
HK stocks edge up ahead of tariff talks
HK stocks edge up ahead of tariff talks The Hang Seng Index ended 84.04 points, or 0.37 percent, up at 22,775.92. File photo: RTHK Asian and European markets mostly rose on Thursday ahead of weekend tariff talks between China and the United States, with London boosted by reports that a "major trade deal" flagged by Donald Trump was with Britain. In Hong Kong, the benchmark Hang Seng Index gained 84.04 points, or 0.37 percent, to close at 22,775.92. The Hang Seng China Enterprises Index rose 0.7 percent to end at 8,300.25 while the Hang Seng Tech Index rose 0.56 percent to end at 5,228.91 Stocks across the border closed higher, with the benchmark Shanghai Composite Index up 0.28 percent to 3,352. The Shenzhen Component Index closed 0.93 percent higher at 10,197.66. The ChiNext Index, tracking China's Nasdaq-style board of growth enterprises, gained 1.65 percent to close at 2,029.45 points. The ChiNext Index, together with the Shenzhen Component Index and other indices, reflects the performance of stocks listed on the Shenzhen Stock Exchange. After the fireworks sparked by the US president's "Liberation Day" on April 2, markets have enjoyed a period of calm in recent weeks on optimism that countries will reach agreements with Washington to avoid his potentially damaging tariffs. That sentiment was given a boost this week when Chinese and US officials said top negotiators would meet on Saturday and Sunday for their first talks since Trump unveiled his bombshell levies. The pound extended gains to spike at US$1.3377 but later eased back to sit barely moved from the day before. London was on the front foot in the morning, tracking gains in Tokyo, Sydney, Seoul and Mumbai. Paris and Frankfurt also enjoyed gains, while US futures were up. Singapore, Wellington, Manila, Bangkok and Jakarta fell, while Taipei was flat. The White House's hardball approach to trade continues to cause anxiety, and Federal Reserve boss Jerome Powell warned on Wednesday that there was "a great deal of uncertainty" about where the administration's policies will end up. In a news conference after the Fed stood pat on interest rates, Powell said: "If the large increases in tariffs that have been announced are sustained they're likely to generate a rise in inflation, a slowdown in economic growth and an increase in unemployment. "The effects on inflation could be short-lived, reflecting a one-time shift in the price level," he added, but also warned it was "possible that the inflationary effects could instead be more persistent". The Fed, in its post-meeting statement, said that "uncertainty about the economic outlook has increased further" and that the chances of higher unemployment and inflation had also risen. (AFP)
