Original title: 6 “Lightspeed” hard tech ETFs approved in just one week
Economic Observer Network Reporter Hong Xiaotang Several “Lightspeed”-endorsed hard tech ETFs are making new gains.
On September 20, 5 products including Harvest SSE Sci-tech Board Innovation Chip ETF, Huaan SSE Sci-tech Board Innovation Chip ETF, South SSE Sci-tech Board Innovation New Materials ETF, Bosera SSE Sci-tech Board Innovation New Materials ETF, Huaxia CSI Machine Tool ETF, etc. The announcement indicated that it will be officially released on September 23.
In addition, the reporter learned from channel sources that the Cathay CSI Machine Tool ETF is expected to be officially announced on the 26th.
In terms of time, the above 6 products were only reported on September 16, 4 days ago, in just 2 days, on September 18, the 6 ETFs were successfully approved. Some people in the industry lamented that from preparation to approval And then to the release can be described as “light speed”.
According to the administrative approval of the progress of the China Securities Regulatory Commission, on September 16, Harvest Fund and Huaan Fund respectively reported the SSE STAR Market Chip ETF, China Southern Asset Management and Bosera Fund respectively reported the SSE STAR Market New Materials ETF, while China Asset Management and Cathay Pacific reported the fund separately from the DPC Machine Tool ETF.
“To be able to report and get approval so quickly this time, the intention of supervision is very clear, that is, it can provide ‘living water’ for more subdivided areas of technology, further strengthen the role of financial services in the real economy, and ease the problem of the “stuck neck” from the side of the capital,” said a public bidder close to supervision.
Liang Xing, director of the Quantitative Investment Department of Cathay Pacific Fund, said that the launch of ETF products attracted medium and long-term funds to enter the market, provided financial support for the development of national science and technology, helped improve the independent innovation ability of the industry, and accelerated the key core technologies of “stuck neck” Promote the long-term and stable development of my country’s economy.
6 products in 3 areas
Judging from the areas of focus of the six technology ETFs, the distribution of the six products focuses on the three main areas of new materials, chips and machine tools.
Among them, the tracking index Harvest SSE Sci-tech Innovation Board Chip ETF and Huaan SSE Sci-tech Innovation Board Chip ETF is the SSE Sci-tech Innovation Board Chip Index (hereinafter referred to as the “Innovation Chip Index Science and Technology” ), established by the Shanghai Stock Exchange and China Securities Index Co, Ltd in 2022. Officially released on June 13, 2019.
According to the official website of the Shanghai Stock Exchange, the index selects no more than 50 securities of listed companies in the fields of semiconductor materials and equipment, chip design, chip manufacturing, chip packaging and testing with large market value as index samples to reflect the listing of the representative chip industry on the Science and Technology Innovation Board The overall performance of the company’s securities. The top ten heavyweight stocks in the index include China Micro, SMIC, China Resources Micro, Montage Technology and other leading chip companies, with a total weight of 60%.
According to data from the official website of China Securities Index Co, Ltd, the base date of the index is December 31, 2019, and the base point is 1,000; at the end of September 20, the Science and Technology Chip Index has fallen by 30.07% during the year.
Tian Guangyuan, manager of the proposed fund Harvest SSE Science and Technology Innovation Board Chip ETF, said that the domestic chip industry contains huge investment opportunities under the impact of multiple favorable factors resonating at the same frequency. On the one hand, the continuous development of domestic technology has become an “accelerator” for the development of the domestic chip industry. Data shows that 19 of the 20 fastest-growing chip industry companies in the world are mainland Chinese companies in the past year, and in 2021, the average sales growth rate of China’s chip industry will rank first in the world . On the other hand, considering the three major opportunities of global chip shortage, fluctuations in the global supply chain under short-term factors, and the policy support of small giants “specialized, refined and new”, the chip industry may China is ushering in a golden period of development.
Huaxia CSI Machine Tool ETF and Cathay CSI Machine Tool ETF track the CSI Machine Tool Index, released by China Securities Index Co, Ltd on May 9, 2022, and select 50 businesses from the Shanghai and Shenzhen markets which include complete machine tools AND listed companies in the fields of design, manufacture and service of key components such as CNC systems, spindles, cutting tools, etc. as samples. The top ten heavyweight stocks in the index include: Han’s Laser, Huagong Technology, Shanghai CNC, Jiangte Motor, Inovance Technology, etc., with a total weight of 54%, and a decline of 18.62% for the year on 20 September.
Liang Xing believes that after the approval of China Cathay Pacific Securities Machine Tool ETF, it can effectively increase market attention and contribute to the development and growth of the machine tool industry. At the same time, the fund’s products are expected to bring incremental funds to the machine tool industry, help the real economy increase research and development investment, expand productivity, and promote the qualitative improvement of the industrial chain. Resident investment in CSI machine tool ETFs, on the one hand, supports the national strategy, and on the other hand helps to share the benefits of economic growth.
Si Fan, manager of the proposed China Asset Management CSI Machine Tool ETF, said the latest sample of the CSI Machine Tool Index has a total average daily market value of 640.8 billion yuan and a free float market value of 476.4 billion yuan. The total average daily market value of the sample is 13.3 billion yuan, and the median is 4.8 billion yuan, The overall market is relatively small. In the latest sample, more than 50% of the weight is distributed on the main board of the Shenzhen Stock Exchange. The number of samples and the weight of the whole machine tool account for more than 50%. 83% of the sample size and 70% of the weight are concentrated in mechanical manufacturing, followed by electronics and non-ferrous metals. The top ten samples have a total weight of 59.00%, the top five samples have a total weight of 36.44%, and the largest weight sample is Han’s Laser.
Unlike the two main areas of chips and machine tools, the ETFs approved by China Southern Fund and Bosera Fund are related to the new materials sector. The index selects 50 securities of listed companies in the fields of advanced steel, advanced non-ferrous metals, advanced chemicals, advanced inorganic metals and other basic materials and key strategic materials with large market capitalization from the STAR Market as index samples; the top ten of the index Heavyweight stocks include: Western Superconductor, Rongbai Technology, Shanghai Silicon Industry, etc., with a total weight of 63% As of September 20, the index has fallen by 25.42% during the year.
Southern Asset Management said the new material industry is at a key stage of development, with huge room for future growth and excellent long-term investment value. First of all, the localization and development of new materials with excellent performance is the key to China becoming a manufacturing power and getting rid of the “stuck neck” dilemma. Second, the increase in product penetration rate + the prosperity of downstream demand + the company’s core competitiveness accompany the development of the new material company. Finally, the recent drop in raw material prices + the weakening of the negative impact of the epidemic + the improvement of the foreign trade environment have brought about a rebound in valuations, the periodic suspension of new material companies has weakened, and the margin. the gross profit margin has improved.
Regarding the issuance of the above hard technology ETFs, a relevant person from a large fund company in Shanghai said that the recent market trend is relatively sluggish, and six hard technology ETFs have been issued at this time, and their funding enthusiasm is needed. The setting remains important in the long term.Return to Sohu, see more
Disclaimer: The opinion of this article only represents the author himself, Sohu is an information publishing platform, and Sohu only provides information storage space services.