Those inflows came at the same time as cash exited the four largest CSI 300 Index ETFs. It may be a signal that some investors are ready to switch tack as they position in onshore stocks.
Nearly two dozen A500 feeder products have raised 35 billion yuan so far, according to local media reports. Several fund houses met their fund-raising targets ahead of schedule. Asset managers, seizing on a window of higher risk appetite among equity investors after a recent rally, are making a marketing push.
The CSI A500 Index has gained 14% since its inception on Sept 23. It’s meant to contain the 500 largest and most liquid firms traded in the mainland, while eliminating those with low environmental, social and governance ratings and which do not have stock-connect eligibility.
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The top components by weight are Kweichow Moutai, Contemporary Amperex Technology (CATL) and Ping An Insurance Group.
Chart: Bloomberg
