On the evening of June 28, China Securities Regulatory Commission and Hong Kong Securities Regulatory Commission released big news: ETF trading under the Internet will start on July 4.
//Interconnection ETF trading will start on July 4//
In order to promote the common development of the capital markets of the mainland and Hong Kong, the China Securities Regulatory Commission and the Hong Kong Securities Regulatory Commission decided to approve the exchanges of the two places to officially list eligible trading open-end funds (Exchange Traded Fund) is included in the stock market interconnection mechanism between the Mainland and Hong Kong. ETF trading under the Stock Connect will begin on July 4, 2022.
1. Since the China Securities Regulatory Commission and the Hong Kong Securities Regulatory Commission issued a joint announcement on May 27 this year, the regulatory agencies of the two places have worked together on the preparations for the inclusion of ETF into the interconnection. At present, relevant business rules, operating plans and regulatory arrangements have been determined, and the technical system is ready.
2. The China Securities Regulatory Commission and the Hong Kong Securities Regulatory Commission have reached consensus on cross-border regulatory cooperation and investor education cooperation related to the inclusion of ETFs in the Stock Connect. Both parties will continue to do a good job in investor education and investment knowledge dissemination of ETF inclusion in the Stock Connect. Strengthen law enforcement cooperation, crack down on various cross-border violations of laws and regulations, promptly and properly handle major or emergencies, maintain the normal operating order of interconnection, and protect the legitimate rights and interests of investors.
3. The exchanges, securities trading service companies and registration and clearing institutions of the two places shall perform various interconnection responsibilities in accordance with the law and organize market parties to carry out ETF inclusion related businesses in an orderly manner. Securities companies (or brokers) should abide by relevant regulatory regulations and business rules, strengthen internal controls , prevent and control risks, provide investor education and services, and effectively safeguard the legitimate rights and interests of investors. Investors should fully understand the differences in laws, regulations, business rules and practical operations between the two markets, prudently assess and control risks, and make rational investments related to interconnection.
All parties in the market should hurry up and make preparations before launch to ensure the smooth implementation of ETF inclusion in interconnection.
// Shanghai Stock Exchange’s stock trading interconnection mechanism was approved//
html On the evening of June 28, the Shanghai Stock Exchange announced that the inclusion of ETFs in the mainland and Hong Kong stock market trading interconnection mechanism was officially approved and launched. In the early stage of, the Shanghai Stock Exchange has officially released the relevant business rules for the inclusion of ETFs in the interconnection mechanism, clarifying to the market the conditions for ETF inclusion, adjustment mechanisms, trading arrangements and other matters; at the same time, in order to ensure market readiness, the Shanghai Stock Exchange has organized market participants to further Prepare relevant preparations for the launch of business, conduct multiple customs clearance tests of trading systems with member institutions, and urge members to strengthen internal control and risk prevention.
At present, the business and technical preparations for ETF inclusion in the interconnection mechanism have been basically completed.
In the next step, under the unified deployment of the China Securities Regulatory Commission, the Shanghai Stock Exchange will continue to work with all parties to actively carry out various tasks before the ETF is officially included in the interconnection mechanism to ensure the smooth opening and smooth implementation of the inclusion mechanism.
On the evening of June 28, the Shenzhen Stock Exchange and the Hong Kong Stock Exchange announced the first batch of ETF lists for the Shenzhen-Hong Kong Stock Exchange, which will be officially included in the scope of the Shenzhen-Hong Kong Stock Exchange on July 4.
Market participants can check the specific list of Shenzhen-Hong Kong Stock Connect ETFs on the websites of the Shenzhen Stock Exchange and the Hong Kong Stock Exchange.
In the next step, the Shenzhen Stock Exchange will follow the unified deployment of the China Securities Regulatory Commission and continue to work with all parties to make solid preparations before the launch to ensure the smooth implementation and smooth implementation of ETF inclusion in the interconnection, better promote the coordinated development of the capital markets of the two places, and help The Guangdong-Hong Kong-Macao Greater Bay Area has achieved high-quality development.
//The first list of included targets is out? //
On the evening of June 28, the first batch of target ETF lists was released. Among them, there are 53 Shanghai Stock Connect ETFs, a total of 30 Shenzhen Stock Connect ETFs, and a total of 4 Hong Kong Stock Connect ETFs.
Shanghai Stock Connect ETF covers core broad-based products such as 50ETF, 180ETF, and 300ETF, as well as representative industry theme products such as biomedicine , semiconductors, and new energy.
Shenzhen-Hong Kong Stock Connect ETF covers core broad-based products such as GEM ETF, Shanghai and Shenzhen 300ETF, as well as representative industry theme products such as biotechnology ETF, chip ETF, carbon neutral ETF and other products.
Source: Shanghai and Shenzhen Stock Exchanges
CICC stated that from a product perspective, the inclusion of ETFs in the interconnection will provide investors in both places with richer and more convenient investment tools. ETF products in the Hong Kong market will also provide cheaper allocations for overseas markets. participation channels; for the capital market, open interconnection may introduce professional funds to the mainland ETF market, improve the investment structure, and provide more liquidity, while promoting further integration of the mainland and Hong Kong markets.
Huachuang Securities believes that the expansion of this interconnection to stock ETFs will enrich the investment portfolio of the Shanghai-Shenzhen-Hong Kong Stock Connect market, increase the participation of foreign capital in A-share market investment opportunities, and further attract foreign investment. In addition, market trading activity will be increased.
Sun Yu, an analyst at Guotai Junan , said that the inclusion of ETFs in the interconnection will enrich the varieties of asset allocation and enhance the diversification level of asset allocation. Therefore, the liquidity of related ETF products is expected to improve significantly and further improve the investor structure of ETFs in the A-share market.
//Two financing foreign investors are running into the market//
html On June 28, A shares continued to rise strongly, all major stock indexes rose, and the turnover once again exceeded 1.2 trillion. Popular sectors took turns to rise, with tourism and semiconductors rising successively, and many industry-themed ETF funds rising by more than 4%.As of the close of June 28, the Shanghai Composite Index rose 0.89% to close at 3409.21 points; the Shenzhen Component Index rose 1.23% to close at 12982.69 points; the GEM Index rose 0.35% to close at 2840.42 points, and Wind was all A-level The transaction volume was 1.22 trillion. At the same time, financing and foreign investment continued to enter the market.
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Judging from the overall rise and fall distribution of the market, the number of rising companies exceeded 3,600, while the number of rising companies reached 128, and the number of falling companies was only over 1,000. The market has a significant money-making effect.
//The volume and price of A shares rose and continued to hit a new rebound high//
html On June 28, Wind Quan A continued to rise sharply, with an increase of 1.19%, continuing to hit a new high since the bottom rebound, with a full-day turnover of 1.22 trillion. The trading volume was basically the same as that of the previous trading day. Judging from the recent trading volume, the market continues to strengthen, and investor sentiment has become increasingly high, showing a trend of rising volume and price.// Sectors take turns //
html On June 28, the A-share market rose sharply, and most industry sectors rose. Among them, the consumer services sector rose by 4.07%, ranking first; semiconductors and semiconductor production equipment, transportation, energy , technology hardware and equipment and other sectors also ranked among the top gainers. Judging from the top growth sectors, the growth of new energy has slowed down, and consumption, semiconductors, and energy have continued to rise.?
Judging from the consumer services sector that topped the list of gains, tourism stocks led the gains, including Western Region Tourism, Junting Hotel , Xi'an Food , Jiuhua Tourism, Xi'an Tourism, Zhongxin Tourism , Lijiang Shares Many stocks such as and Huatian Hotel hit the daily limit or increased by more than 10%, Dalian Shengya , Tianmu Lake , Tibet Tourism , Yunnan Tourism , Lingnan Holdings , Songcheng Performing Arts, Guilin Tourism, , Jinling Hotel, , etc. were also among the top gainers.
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In terms of news, on June 28, the Joint Prevention and Control Mechanism of the State Council held a press conference to introduce the scientific and precise epidemic prevention and control work. At the meeting, Wang Liping, a researcher at the Transmission Prevention and Control Division of the Chinese Center for Disease Control and Prevention, introduced that the ninth version of the prevention and control plan has optimized the isolation and control period and methods for people at risk related to the epidemic. The isolation and control time for close contacts and immigrants has been adjusted from 14 days of centralized isolation plus 7 days of home health monitoring to 7 days of centralized isolation medical observation, plus 3 days of home health monitoring. The sharp rise in the
sector has also driven the rapid rise of ETF funds. As of the close of trading on June 28, many travel and chip-themed ETF funds had increased by more than 4%.
//35 stocks hit record highs//
The market has continued to rise recently, and many stocks hit new stage highs or even record highs.Wind statistics show that 35 stocks have reached record highs in the past two days (excluding new stocks listed this year). From the market value of relevant companies, the market value of JA Technology, Changan Automobile , Xiaokang Co., Ltd., and Sanhua Intelligent Control They are all above 100 billion yuan. The market value of many companies such as Maiwei Technology Co., Ltd. , Zhongtian Technology , Defang Nano, Aixu Technology Co., Ltd., Deye Co., Ltd., and Dongfang Cable Technology Co., Ltd. exceeds 50 billion yuan.
The following stocks have hit new highs in the past two days:
//Beishang funds have been net buying for 4 consecutive days//
html On June 28, Beishang funds have made a net purchase of 4.648 billion yuan, a significant net purchase for 4 consecutive days, with a cumulative net purchase this month The amount of deposits reached 74.642 billion yuan. Judging from the recent trend of northward capital changes, it has continued to rise recently, and foreign investors have also increased their buying.//Both margin financing balance bottomed out and rebounded by more than 70 billion//
As of Monday (June 27), the balance of A-share margin trading and securities lending was 1.589186 billion yuan, an increase of 9.547 billion yuan from the 1.579639 billion yuan on the previous trading day. Judging from the trend of changes in the balance of the two financings, as the market rebounded, leveraged funds quickly increased their positions. Since the low in early June, the balance of the two financings has increased by more than 70 billion yuan.
//Over 90% of stocks have risen in the past two months//
The stock market has rebounded strongly for two consecutive months, and both the index and individual stocks have performed well. The stock market is hot and funds are in pursuit, while Treasury bond futures are weak, continuing to fall and reaching a three-and-a-half-month low.
stocks are also very strong. Wind data shows that there are currently 4,728 A-shares, and 4,413 have risen since this round of rise, accounting for 93.34%. Among them, Zhongtong Bus and Haiqi Group html have soared by more than 300% in 22 months, followed closely by Zhejiang Shibao and Chengchang Technology, etc., which have risen by more than 200%, and the increases are between 100% and 200%. There are still 87 stocks, which shows that this round of A-shares is very popular.
//July Asset Allocation Outlook//
Wanlian Securities Xu Fei and Gong Huijing analyzed that overall, inflation in major overseas developed economies remains high, currency tightening is accelerating, and overseas stock markets continue to be highly volatile. Against the background of rising overseas interest rates, the phenomenon of capital outflows is still worth noting. The downward pressure on the domestic economy has eased, economic data has improved, and the market has increased confidence in the rebound of corporate profit growth.
If the epidemic situation is stable, production will accelerate and demand will recover to form a resonance. At the same time, policies continue to work hard to accurately support economic recovery. At present, the valuations of major industries have rebounded from low levels, and high-quality tracks still have high cost performance. Market sentiment is expected to continue to recover, but sector performance may diverge. In terms of
industry allocation, (1) "steady growth" is still the focus in the third quarter. Among the main lines of investment, areas such as power grids, railway networks, and water conservancy facilities deserve attention. There are still allocation opportunities in the construction and building materials fields; (2) market sentiment continues to recover, Risk appetite has improved. If there is a correction, we can take advantage of dips in new energy and high-end manufacturing fields.
Ping An Securities Guo Zirui analyzed that in this round of market conditions, the extremely loose liquidity is an important factor in boosting the market rise. The rebound of growth style obviously dominates the value style. If the liquidity margin tightens or the interim report is less than expected in the future, the market will fluctuate. will increase.
If there are no unexpected stimulus policies to stabilize growth, it will be difficult for the market to form a reversal trend. Therefore, after the A-share rebound in May and June, volatility increased in July. Funds with a single theme that had a large increase in the previous period can appropriately switch to a balanced style and focus on the market rotation to rise; the long-term bond market may remain volatile. Short-term interest rates will remain low. Fund prices have increased slightly recently, and there are trading opportunities as a result of increased fluctuations in funds. In the foreign exchange market, the U.S. dollar index is more likely to fluctuate at high levels in the short term, and the pressure for RMB depreciation remains. The
stock-bond cost-performance model shows that stocks still have an advantage over bonds, long-term strategies are not pessimistic, and short-term tactics require timing; the bond market is volatile and differentiated, and there are trading opportunities for short-term bonds.
This article comes from Wind information
