2024-12-23 23:07:01
Author: China International Capital Corporation Limited / 2023-07-23 20:35 / Source: China International Capital Corporation Limited

CICC CSI Select 100 ETF Lists on the SEHK Today

BEIJING,Dec. 5,2018 -- China International Capital Corporation Hong Kong Asset Management Limited,a wholly-owned subsidiary of China International Capital Corporation Limited (CICC),announced the launch of CICC CSI Select 100 ETF (the "ETF"). Units of the ETF will begin trading today on the Stock Exchange of Hong Kong (SEHK) under the ticker number 3093 for HKD counter and 83093 for RMB counter.

The ETF tracks CSI CICC Select 100 Index[1] (the "Index") which consists of 100 Shanghai and Shenzhen listed stocks of industry front-runners that have solid competitive advantages and can benefit from China's ongoing economic transformation. The Index is developed by the award-winning CICC Research Division who has comprehensive coverage and in-depth local knowledge of China market. The Index is a free float market capitalisation weighted index designed to select top 100 A-shares companies which have high and stable return on equity,high dividend yields and high earnings growth rates using multi-factor smart beta methodology amongst a stock pool which is comprised of the A-Shares. This strategy has been consistently outperforming some mainstream total return indices[2].

The Index screens for qualifying equities based on the following rationales:

As China's economy is transforming into a high-quality growth model,Chinese consumers begin to prefer higher-end products and players in different industries are consolidating and moving up the value chain.

China's economic transformation would benefit industry leaders,which are not just companies with large capitalization,but more importantly,dominant players with solid competitive advantages and wide economic moats. Such companies tend to deliver high and sustainable return on equities (ROEs).

Based on the above,the Index strategically ranks and filters stocks based on individual players' sustainable ROEs and such forms a distinctive feature of the Index. Fundamental factors including dividend yields and earnings growth rates are used to select the top 100 stocks and the individual constituents are weighted in accordance to their free float market capitalization.

CICC's Research Division is known for its leading position in financial research in China. The Research Division's unbiased and rigorous research has earned them a reputation as an influential research institution in China's capital market. From 2006 to 2017,the Research Division has won Asiamoney's Best for Overall Country Research in China twelve times consecutively.

"CICC is devoted to helping clients with top-notch research capabilities," said Dr. Liang Hong,Managing Director and Head of CICC Research Division. "We are proud to provide this 'quantamental' product in the format of an ETF for our clients."

The launch of the ETF marks another milestone for China International Capital Corporation Hong Kong Asset Management Limited which provides a wide range of asset management products and services for overseas clients.

"We are excited to launch this innovative ETF in Hong Kong," said Lin Ning,Managing Director of China International Capital Corporation Hong Kong Asset Management Limited. "We are convinced this is the right product for savvy investors to get involved in the Chinese stock market."

About China International Capital Corporation (CICC)

CICC is China's first joint-venture investment bank and a pioneer in international best practices in China. Since CICC's inception in 1995,our commitment has been to provide high quality,value-added financial services to our clients. We have established full-service business model offering investment banking,equities,FICC,wealth management services and investment management- all based on our solid research coverage. Our headquarters is in Beijing and we have subsidiaries throughout Mainland China,company branches in major cities including Shanghai and Shenzhen,and more than 200 securities branches in 28 provinces and municipalities nationwide. We are also active overseas with branches in Hong Kong,New York,Singapore,London,San Francisco,and most recently,Frankfurt. In 2015,CICC listed on the main board of the Hong Kong Stock Exchange.

Notes:

The Index is a total return index.

The mainstream total return indices covering China market include but not limited to CSI 300 Index,MSCI China A Onshore Index and FTSE China A50 index. All return statistics are based on daily returns of these total return indices from 31 December 2008 to 30 November 2018. Past performance does not guarantee future returns.

Important notice: Carefully consider the ETF's investment objectives,risk factors,charges and expenses before investing. This and additional information can be found in the ETF's Prospectus and Product Key Facts Statement (together,the "Offering Documents"),which may be obtained by visiting www.cicc.com. You should not make any investment decision based on the information in this press release alone. Read the Offering Documents carefully before investing. The Offering Documents should be read for further details including the risk factors. Investing involves risk,including possible loss of principal.

Nothing contained in this press release constitutes investment advice or should be relied on as such. This press release has not been reviewed by the Securities and Futures Commission of Hong Kong (SFC). SFC authorization of the ETF is not an official recommendation of the ETF.

Tags: Banking/Financial Service

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