CESC To Launch CES China 280 Index On 7 July

Building on the successful launch of the first batch of indices in the CES China Cross Border Index Series, China Exchanges Services Company Limited (CESC) today (Monday) announced that it will launch the CES China 280 Index (CES 280) on 7 July. 

The CES 280 will add to the China growth story of CESC’s first Cross Border Index, the CES China 120 Index (CES 120), by expanding the CES China Cross Border Index Series’ coverage of Mainland stocks listed in Shanghai, Shenzhen and Hong Kong.  The expansion will enlarge the aggregate market value of the Mainland stocks in the series from 50 per cent to 70 per cent of the total value of the universe. 

Complementing the large cap stocks in the CES 120, the CES 280 is comprised of the next 200 largest A-share companies from the Shanghai Stock Exchange (SSE) and the Shenzhen Stock Exchange (SZSE), and next 80 largest Mainland stocks from Hong Kong Exchanges and Clearing Limited (HKEx). 

The CES 280 has a better historical performance compared to its peer indices*.  The CES 280 also has a well-balanced combination of sectors.  The first three largest are Industrial (17.5 per cent of the index as of 31 December 2013), Consumer Discretionary (16.7 per cent) and Financial (15.8 per cent).

“The business focus of CESC has always been on offering investors cross border opportunities from the Mainland China and Hong Kong markets, as CESC is a joint venture of the three major China exchanges which aims to contribute to the internationalisation of China’s capital market,” said CESC Chief Executive Bryan Chan. 

“The introduction of the CES 280 will supplement the CES 120 by offering more options to investors and meeting the anticipated demand for cross border investment gauges following the launch of Shanghai-Hong Kong Stock Connect. CESC responded to new investment horizons by firstly offering the CES 120 and now the CES 280,” Mr Chan added. 

The new index will be disseminated via information vendors in Mainland China and Hong Kong starting from its launch on 7 July.  For more information, please refer to the index information and index methodology posted on the CESC website.

CESC Cross Border Index Series information and real-time index values are also available on the CESC website (www.cesc.com).

*From 31 December 2004 to 31 December 2013, the CES 280 had an average annual return of 9.8 per cent compared to the Top 50 A shares’ average annual return of 5.8 per cent.

CES 120 and CES 280 Overview

*Market value of all A-share companies listed in Shanghai and Shenzhen and the Mainland stocks listed in Hong Kong.

CES China Cross Border Index Series Overview

# The CES 120 is comprised of the CES China A80 Index (CES A80) and the CES China HK Mainland Index (CES HKMI).