Invesco has launched the MSCI China All Shares Stock Connect UCITS ETF, which offers investors a unique investment opportunity.
The ETF aims to have the broadest exposure to Chinese stocks and the closest representation of the country’s economy achieve.
Gary Buxton, Head of EMEA ETFs and Indexed Strategies at Invesco, says: “Although China is one of the largest and fastest growing economies in the world, access to its capital markets has always been difficult for international investors. There are many different types of share classes, some listed on land and others listed offshore, and not all of which are available to everyone. The MSCI China All Shares Stock Connect Select index offers exposure to the wide range of opportunities and we are excited to launch the first UCITS ETF to track this important index. «
The index comprises Chinese stocks listed in Hong Kong, Shanghai, Shenzhen and outside of China. It adjusts the MSCI China equity universe to ensure full weighting of China A-shares accessible through Stock Connect. All index constituents are weighted according to their free float adjusted market capitalization and the index is rebalanced quarterly.
Chris Mellor, Head of EMEA ETF Management for Equity and Commodity Products at Invesco, said, “The Stock Connect program has given foreign investors long access to the stocks listed on China’s two largest stock exchanges. These companies are most exposed to domestic growth, which we think could be attractive given urbanization, an emerging middle class, and other demographic trends. By tracking this new index, our ETF offers the full weight of these key stocks as well as global growth opportunities from offshore-listed Chinese stocks. We believe our ETF offers the broadest and truest representation of the vast Chinese economy. «
Ref: https://www.etfexpress.com
