CSOP Huatai-PineBridge CSI 300 ETF (3133.HK) list on Hong Kong Stock Exchange Tomorrow

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CSOP Huatai-PineBridge CSI 300 ETF (3133.HK) list on Hong Kong Stock Exchange Tomorrow

2024-07-15 16:15 Last Updated At：16:20

HONG KONG--(BUSINESS WIRE)--Jul 15, 2024--

CSOP Huatai-PineBridge CSI 300 ETF (3133.HK) will list on the Hong Kong Stock Exchange on July 16, 2024. In seeking to achieve its investment objective, 3133.HK will invest at least 90% of its NAV in the Huatai-PineBridge CSI 300 Exchange-traded Open-end Index Securities Investment Fund (the “Master ETF”) via the QFI status granted to the Manager and/or the Shanghai-Hong Kong Stock Connect. With listing price of approximately HKD 7.8 per unit, board lot of 100 units, 3133.HK has received an initial investment of RMB 51.1 million.

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At the beginning of 2024, a slew of foreign financial institutions are bullish on Chinese stock market and have upgraded their ratings 1. Meanwhile, the northbound fund flows have been positive for three months in a row since February, hit a new record high in April, indicating strong overseas investment interest in A-share 2. Analysis suggests that China's stock market is benefiting from four major tailwind factors: the "national team" purchasing A-share ETFs to boost funds and confidence; the introduction of the once-in-a-decade new 'Nine Guidelines for Capital Market' policy, and the A-share buybacks and dividends continue to accumulate; quarterly GDP growth in China has beat expectations, with steady earnings recovery; the price-earnings ratio of the CSI 300 index is lower than its 20-year historical average, making A-share highly attractive for investment 3.

Since late 2023, state-owned financial firms led by Central Huijin and China Securities Finance Corp have been investing heavily in A-share ETFs, especially CSI 300 ETFs 3. The policy-driven funds of the "national team" have often intervened to support the capital market, which is seen as a sign to stabilize the stock market. According to UBS estimates, since 2024, policy-driven funds have injected more than RMB 410 billion (around USD 57 billion) into A-share, 75% of which went to CSI 300 ETFs 4. The Master ETF's quarterly report reveals that Central Huijin added 26.356 billion shares in the first quarter of 2024, amounting to approximately RMB 88.8 billion 5.

The CSI 300 Index (the "Index") serves as a benchmark for China's A-share stock market, tracking 300 largest and most liquid companies in China's A-share stock market to comprehensively reflect overall market performance. The median return on equity (ROE) range of the Index has consistently exceeded 10% over an extended period 6. Since 2020, the Index has incorporated new stocks from the SSE's STAR Market and relaxed listing year requirements for SZSE's ChiNext Market stocks. Currently, the Index constituents are well-balanced across cyclical industries, technology, large financials, and consumer sectors. The Master ETF, the world's largest CSI 300 ETF, manages over RMB 190 billion and sees an average daily turnover exceeding RMB 4.6 billion this year 7.

Ms. Ding Chen, CEO of CSOP Asset Management, stated, "As a widely recognized fund management company, we are delighted to offer Hong Kong investors the opportunity to invest in top-quality assets in China. CSOP Huatai-PineBridge CSI 300 ETF, which tracks the world's largest CSI 300 ETF, is the optimal solution for investing in China A-share. CSOP is dedicated to continuous innovation and remains committed to providing our clients with valuable and distinctive ETF products."

About CSOP

CSOP is a leading ETF issuer in Hong Kong SAR, with a wide range of product offerings across equity, fixed income, leveraged and inverse, thematic, money market, and virtual assets. In Q1 2024, 5 out of 10 of the most traded ETFs on the Hong Kong Stock Exchange are CSOP-issued products*. Innovation and leadership are deeply rooted in CSOP’s DNA as we strive to bring first-of-its-kind products to the market, educate investors about ETF trading, and never stop looking for ways to improve trading efficiencies.

CSOP’s commitment to cross-border initiatives and collaborations is unwavering. We are the only product issuer participating in all the ETF connectivity programs between mainland China and Hong Kong SAR, capturing an 69.08% market share of the aggregate southbound AUM**, as well as the first issuer to participate in the China – Singapore Cross-border ETF Link Scheme.

* Source: 2024/01/01-2024/03/28, Bloomberg.

** Source: HKEX, SZSE, SSE, Bloomberg, as of 2024/06/28.

Disclaimer

This document is for general information only and do not constitute investment or any other kind of advice in any way and shall not be considered as an offer or solicitation to deal in any investment products. Investment involves risk. Investors should refer to the Prospectus and the Product Key Facts Statement for further details, including product features and risk factors. Investors should not base on this document alone to make investment decisions. Investors should consult their own advisors before engaging in any transaction. CSOP which prepared this document believes that information in this document is based upon sources that are believed to be accurate, complete and reliable. However, CSOP does not warrant the accuracy or completeness. This document is not legally binding, and CSOP shall not be liable for any loss, damage or expense incurred. This document is not directed to, intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution, availability or use would be contrary to local law or regulations, or which would subject CSOP to any registration or licensing or other requirement, or penalty for contravention of such requirements within such jurisdiction. For the Index Provider Disclaimer, please refer to the Product’s offering document. This document is prepared by CSOP and has not been reviewed by the SFC in Hong Kong.

Issuer: CSOP Asset Management Limited

1 Source: Collation of research and media reports.
2 Source: iFinD, as of 2024/4/26.
3 Source: Collation of research and media reports.
4 Source: UBS, Caixin.
5 Source: Huatai-PineBridge CSI 300 Exchange-traded Open-end Index Securities Investment Fund quarterly report.
6 Source: Wind, as of 2023/11/30.
7 Source: Wind, as of 2023/04/26.

Dow drops 1,400 as US stocks lead worldwide sell-off after Trump's tariffs cause a COVID-like shock

2025-04-04 03:15 Last Updated At：03:20

NEW YORK (AP) — The U.S. stock market buckled Thursday, and a level of shock unseen in years tore through financial markets worldwide on worries about the damage President Donald Trump 's newest set of tariffs could do to economies across continents, including his own.

The S&P 500 was down 4.2% in late trading, more than in major markets across Asia and Europe. It's heading toward its worst day in more than two years, and it's close to its worst since COVID shattered the economy in 2020. The Dow Jones Industrial Average was down 1,426 points, or 3.4%, with an hour remaining in trading, and the Nasdaq composite was 5.2% lower.

Little was spared in financial markets as fear flared about the potentially toxic mix of weakening economic growth and higher inflation that tariffs can create.

Everything from crude oil to Big Tech stocks to the value of the U.S. dollar against other currencies fell. Even gold, which has hit records recently as investors sought something safer to own, pulled lower. Some of the worst hits walloped smaller U.S. companies, and the Russell 2000 index of smaller stocks dropped 5.9% to pull more than 20% below its record.

Investors worldwide knew Trump was going to announce a sweeping set of tariffs late Wednesday, and fears surrounding it had already pulled Wall Street's main measure of health, the S&P 500 index, 10% below its all-time high. But Trump still managed to surprise them with “the worst case scenario for tariffs,” according to Mary Ann Bartels, chief investment officer at Sanctuary Wealth.

Trump announced a minimum tariff of 10% on imports, with the tax rate running much higher on products from certain countries like China and those from the European Union. It’s “plausible” the tariffs altogether, which would rival levels unseen in roughly a century, could knock down U.S. economic growth by 2 percentage points this year and raise inflation close to 5%, according to UBS.

Such a hit would be so big that it “makes one’s rational mind regard the possibility of them sticking as low,” according to Bhanu Baweja and other strategists at UBS.

Wall Street had long assumed Trump would use tariffs merely as a tool for negotiations with other countries, rather than as a long-term policy. But Wednesday’s announcement may suggest Trump sees tariffs more as helping to solve an ideological goal than as an opening bet in a poker game. Trump on Wednesday talked about wresting manufacturing jobs back to the United States, a process that could take years.

If Trump follows through on his tariffs, stock prices may need to fall much more than 10% from their all-time high in order to reflect the recession that could follow, along with the hit to profits that U.S. companies could take. The S&P 500 is now down roughly 11% from its record set in February.

“Markets may actually be underreacting, especially if these rates turn out to be final, given the potential knock-on effects to global consumption and trade,” said Sean Sun, portfolio manager at Thornburg Investment Management, though he sees Trump’s announcement on Wednesday as more of an opening move than an endpoint for policy.

Trump offered an upbeat reaction on Thursday after he was asked about the stock market drop as he left the White House to fly to his Florida golf club. “I think it’s going very well,” he said. “We have an operation, like when a patient gets operated on and it’s a big thing. I said this would exactly be the way it is."

One wild card is that the Federal Reserve could cut interest rates in order to support the economy. That’s what it had been doing late last year before pausing in 2025. Lower interest rates help by making it easier for U.S. companies and households to borrow and spend.

Yields on Treasurys tumbled in part on rising expectations for coming cuts to rates, along with general fear about the health of the U.S. economy. The yield on the 10-year Treasury fell to 4.05% from 4.20% late Wednesday and from roughly 4.80% in January. That’s a huge move for the bond market.

The Fed may have less freedom to move than it would like, though. While lower rates can goose the economy, they can also push upward on inflation. And worries are already worsening about that because of tariffs, with U.S. households in particular bracing for sharp increases in their bills.

The U.S. economy at the moment is still growing, of course. A report on Thursday said fewer U.S. workers applied for unemployment benefits last week. Economist had been expecting to see an uptick in joblessness, and a relatively solid job market has been the linchpin keeping the economy out of recession.

A separate report said activity for U.S. transportation, finance and other businesses in the services industry grew last month. But the growth was weaker than expected, and businesses gave a mixed picture of how they see conditions.

One business told the survey by the Institute for Supply Management that its restaurant sales and traffic have improved, for example. But another said tariffs on wood imported from Canada and the “resulting delays have caused havoc with the supply chain and deliveries.” A third in the construction industry said it's “starting to see effect of aluminum tariff. These costs will be passed on to customers.”

Worries about a potentially stagnating economy and high inflation knocked down all kinds of stocks, leading to drops for three out of every four that make up the S&P 500.

Best Buy fell 17.1% because the electronics that it sells are made all over the world. United Airlines lost 14% because customers worried about the global economy may not fly as much for business or feel comfortable enough to take vacations. Target tumbled 10.8% amid worries that its customers, already squeezed by still-high inflation, may be under even more stress.

In stock markets abroad, indexes fell sharply worldwide. France’s CAC 40 dropped 3.3%, and Germany’s DAX lost 3% in Europe.

Japan’s Nikkei 225 sank 2.8%, Hong Kong’s Hang Seng lost 1.5% and South Korea’s Kospi dropped 0.8%.

AP Business Writers Matt Ott and Elaine Kurtenbach contributed.