Hang Seng China Enterprises Index
The Hang Seng China Enterprises Index ( HSCEI , also " H-Share-Index" ) is a stock index that tracks the prices of the so-called H-shares on the Hong Kong Stock Exchange . It contains the share prices of 50 mainland China companies that trade in Hong Kong.
The stocks in the HSCEI were initially weighted according to their total market capitalization , which at times led to a share of 40% of the energy company Petrochina alone in the index. Since 2006, only the free float has been included in the weighting, and a maximum weight of 15% per individual value has been introduced. The weight per individual value is now limited to 10%.
The largest individual stocks in the HSCEI today (as of July 2018) are three financial stocks with 10% each: Ping An Insurance , China Construction Bank and Industrial and Commercial Bank of China . At 64%, companies in the financial sector also have by far the greatest weight in the index, followed by the energy industry (12%), consumer goods (6%), telecommunications (5%) and information technology (4%).
background
China is one of the largest economies in the world. While the country has opened up in trade, the liberalization of the capital markets is proceeding much more slowly. Investors have historically had to take the detour via Hong Kong , where the shares of many companies based in China are traded. These so-called "H shares" have been allowed to buy and sell on the local stock exchange since 1993 by non-Chinese with the appropriate authorization. The Hang Seng China Enterprise Index was introduced on August 8, 1994 to track the performance of these companies. The prerequisite for inclusion in the purely Chinese segment was that the H shares were also listed in the superordinate Hang Seng Composite Index (HSCI).
See also
Web links
Individual evidence
- ↑ a b c Hang Seng China Enterprises Index. Fact sheet. Hang Seng Indexes Company, June 2018, accessed July 16, 2018 .