To reinforce its indices' operation and management, the Shanghai Stock Exchange (SSE), upon modification of the former "SSE Measures on Index Administration", has worked out the "SSE Detailed Rules on Securities Index Administration", which will be issued and implemented today in due form.
According to the "Detailed Rules", the new rules will be further applied to the SSE Index Series and other securities indices compiled with SSE's information. The SSE Index Series refer to the "SSE"-titled securities indices devised or authorized and published by the SSE, including but not limited to the SSE Constituent Index, SSE Composite Index, SSE Sector Indices, SSE Fund Index and SSE Bond Index. In charge of the SSE Index Series' operations covering research, design, compilation, release, promotion and management, the SSE can also authorize other institutions to take over the job if necessary.
As required by the "Rules" for compilation of the SSE Index Series, an Index Expert Commission should be established to consult and appraise the indices' compilation methods and operational rules. The SSE or its authorized institutions are supposed to formulate and also adjust specific compilation methods, if necessary, in line with the characteristics of the Index Series. Moreover, they should timely announce the basic information and changes of the SSE Index Series, and issue reports on the indices' operation.
The "Rules" reinforces the authorization management of the SSE Index Series. Firstly, it requires authorized institutions to report or submit relevant issues according to requirements when adjusting the Index Series' compilation methods, authorizing other institutions or individuals to develop related derivative products with the Index Series, adjusting the charge standard of the permit of the Index Series or in other important cases stipulated by the SSE. Secondly, the "Rules" defines that no institution or individual is eligible for use of SSE's information to compile indices. Relevant rights and interests of the SSE Index Series reside in the SSE. Institutions and individuals need to sign license agreements upon approval from the SSE and its authorized institutions before using the Index Series' real-time data, constituent weight or developing derivative products with the Index Series.
The "Rules" pointed out that the SSE and its authorized institutions will try their best to guarantee the timeliness, accuracy and integrity of the SSE Index Series and its data. However, they will not assume the institutions or individual users' losses caused by the index or its data's interruption, omission or errors for whatsoever reason.
