Skip to main content

You are here

FTSE Russell launches FTSE China A Free Indexes

 

  • 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.

For further information:

Global Media 
Ed Clark +44 (0)20 7797 1222
Tim Benedict +1 212 314 1199
newsroom@lseg.com

Regional Contacts
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

About FTSE Russell:
FTSE Russell is a global index leader that provides innovative benchmarking, analytics and data solutions for investors worldwide.  FTSE Russell calculates thousands of indexes that measure and benchmark markets and asset classes in more than 70 countries, covering 98% of the investable market globally.

FTSE Russell index expertise and products are used extensively by institutional and retail investors globally. Approximately $12.5 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 ETFs, structured products and index-based derivatives.

A core set of universal principles guides FTSE Russell index design and management: a transparent rules-based methodology is informed by independent committees of leading market participants. FTSE Russell is focused on applying the highest industry standards in index design and governance and embraces the IOSCO Principles. FTSE Russell is also focused on index innovation and customer partnerships as it seeks to enhance the breadth, depth and reach of its offering.

FTSE Russell is wholly owned by London Stock Exchange Group.

For more information, visit www.ftserussell.com 

© 2017 London Stock Exchange Group plc and its applicable group undertakings (the “LSE Group”). The LSE Group includes (1) FTSE International Limited (“FTSE”), (2) Frank Russell Company (“Russell”), (3) FTSE TMX Global Debt Capital Markets Inc. and FTSE TMX Global Debt Capital Markets Limited (together, “FTSE TMX”) and (4) MTSNext Limited (“MTSNext”). All rights reserved.

FTSE Russell® is a trading name of FTSE, Russell, FTSE TMX and MTS Next Limited. “FTSE®”, “Russell®”, “FTSE Russell®” “MTS®”, “FTSE TMX®”, “FTSE4Good®” and “ICB®” and all other trademarks and service marks used herein (whether registered or unregistered) are trade marks and/or service marks owned or licensed by the applicable member of the LSE Group or their respective licensors and are owned, or used under licence, by FTSE, Russell, MTSNext, or FTSE TMX.

All information is provided for information purposes only. Every effort is made to ensure that all information given in this publication is accurate, but no responsibility or liability can be accepted by any member of the LSE Group nor their respective directors, officers, employees, partners or licensors for any errors or for any loss from use of this publication or any of the information or data contained herein.

No member of the LSE Group nor their respective directors, officers, employees, partners or licensors make any claim, prediction, warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE Russell Indexes or the fitness or suitability of the Indexes for any particular purpose to which they might be put.

No member of the LSE Group nor their respective directors, officers, employees, partners or licensors provide investment advice and nothing in this communication should be taken as constituting financial or investment advice. No member of the LSE Group nor their respective directors, officers, employees, partners or licensors make any representation regarding the advisability of investing in any asset. A decision to invest in any such asset should not be made in reliance on any information herein. Indexes cannot be invested in directly. Inclusion of an asset in an index is not a recommendation to buy, sell or hold that asset. The general information contained in this publication should not be acted upon without obtaining specific legal, tax, and investment advice from a licensed professional.

No part of this information may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without prior written permission of the applicable member of the LSE Group. Use and distribution of the LSE Group index data and the use of their data to create financial products require a licence from FTSE, Russell, FTSE TMX, MTSNext and/or their respective licensors.