MSCI Inc. (NYSE: MSCI), a leading provider of investment decision support tools worldwide, is pleased to announce that the MSCI China A Index is the underlying index for a new ETF launched by Harvest Global Investments on the Stock Exchange of Hong Kong under the RQFII scheme.
“We are delighted to have licensed our flagship MSCI China A Index to Harvest Global Investments for the creation of the Harvest MSCI China A Index ETF,” said Henry Fernandez, Chairman and CEO of MSCI Inc. “The MSCI China A Index features broad, diversified and liquid coverage of the domestic China A shares opportunity set.”
Henry Zhao, Chairman of Harvest Global Investments, said, “Harvest strongly believes that introducing the first ETF based on the MSCI China A Index demonstrates our commitment to offering global investors diversified access to the growth opportunities of the domestic China A shares market. The breadth and depth of the MSCI China A Index differentiates it from the other indices currently available for the China equity market.”
The MSCI China A Index is constructed based on the same methodology as the MSCI Global Investable Market Indices, which are widely adopted by international investors. This consistency of methodology allows investors to analyze the opportunity set of the China A shares market in the same manner as other global equity markets. Key features of the MSCI China A Index include:
- Target 85% free float market capitalization coverage
- Broad industry representation
- Current number of index constituents is 541*
With no fixed number of index constituents, the MSCI China A Index is able to reflect the ongoing evolution of this market’s structure.
* As of September 28, 2012