Launch of Hang Seng CSI Shanghai-Hong Kong AH Smart Index

Hang Seng Indexes Company Limited (“Hang Seng Indexes”), Hong Kong’s leading index compiler, and China Securities Index Company Limited (“CSI”), an influential index company in mainland China, jointly launched the Hang Seng CSI Shanghai-Hong Kong AH Smart Index (“SHHKSI”) on 17 November 2014.
This cooperative effort brings together the brands and expertise of the two index compilers and will put global investors in a better position to capture the investment opportunities arising from Shanghai-Hong Kong Stock Connect (“SH-HK Stock Connect”).
The SHHKSI will cover 50 SH-HK Stock Connect eligible companies with dual listings as A-shares on Shanghai Stock Exchange and H-shares on the Main Board of the Stock Exchange of Hong Kong. The index will include the share class that has a lower relative price.
The SHHKSI aims to provide a benchmark reflecting a price arbitrage strategy that may bring additional returns to investors while the AH price difference is expected to be narrowed after the launch of the SH-HK Stock Connect.
Mr. Vincent Kwan, Director and General Manager of Hang Seng Indexes, said: “Hang
Seng Indexes is pleased to join with CSI to develop the Shanghai-Hong Kong AH Smart Index. The Shanghai-Hong Kong Stock Connect will improve the efficiency of the two stock markets and induce more demand on cross-market index products. We will continue to develop more new index solutions to satisfy different market demands.”
Mr. Zhigang Ma, Chief Executive Officer of CSI, said: “Launched with the partnership of Hang Seng Indexes, this strategy index rides on the arbitrage opportunities arising from the AH price difference of dual-listed companies in Shanghai and Hong Kong. CSI will continue to develop more indexes to meet investors’ needs in cross-border investments.”
The SHHKSI was calculated and disseminated real-time at 2-second intervals starting from 17 November 2014.
About Hang Seng Indexes Company Limited The Hang Seng Family of Indexes is managed and compiled by Hang Seng Indexes Company Limited (formerly HSI Services Limited), which is a wholly-owned subsidiary of Hang Seng Bank. The Hang Seng Family of Indexes comprises a wide range of Flagship, Benchmark, Thematic, Strategy and Bond indexes that cover Hong Kong and mainland China markets.
About China Securities Index Company Limited
As a joint venture between the Shanghai Stock Exchange and the Shenzhen Stock Exchange, CSI is a professional business entity specializing in the creation and management of indices and index-related services. CSI is dedicated to serving the capital market and promoting financial innovation relying on the information and technical advantages of the two exchanges. Focusing on the series of CSI indices, exchange indices and customized indices, CSI aims to become the leading index provider in China.
Source: http://www.hsi.com.hk/HSI-Net/static/revamp/contents/en/news/pressRelease/20141110e.pdf

Advertisements

Leave a comment

Filed under Financial strategy

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s