IMPORTANT: Investment involves risks. Investment value may rise or fall. Past performance information presented is not indicative of future performance. Investors should refer to
the Prospectus and the Product Key Facts Statement for further details, including product features and risk factors. Investors should not base on this material alone to make
investment decisions.
• CSOP SZSE ChiNext ETF (the “Sub-Fund”) is a physical index tracking exchange traded fund and it aims to provide investment results that closely correspond to the performance of
the ChiNext Index (the “Underlying Index”).
• The Sub-Fund invests primarily in China A-Shares listed on the ChiNext board of the PRC Shenzhen Stock Exchange (“SZSE”) primarily through the RQFII quota of the Manager.
• Listed companies in the ChiNext market (e.g. innovative or small/medium sized enterprises (“SME”)) are usually in their preliminary stage of development with smaller operating
scale and shorter operating history, and their businesses are usually subject to higher uncertainty and more fluctuations in their performance. Therefore, its stability and resistance
to market risks may be lower.
• Given the emerging nature of the companies listed on the ChiNext market and their industries focus on scientific development, innovation and media industries, any failures in the
process of the scientific development may result in losses in such companies.
• This Sub-Fund invests in constituent securities of the Underlying Index which are highly volatile and have a high price-earnings ratio. You may suffer a substantial loss by investing
in this product.
• China is considered an emerging market and investments in the China market may be subject to greater economic, political, tax, foreign exchange, regulatory, volatility and
liquidity risks, than that in more developed countries.
• The Manager may, at its discretion, pay dividends out of capital. Payment of dividends out of capital or effectively out of the capital amounts to a return or withdrawal of part of an
investor’s original investment or from any capital gains attributable to that original investment. The Sub-fund may result in an immediate reduction of the NAV per Unit.
• Retail investors can only trade units of the Sub-Fund on the SEHK. The trading price of the units may be different from the Sub-Fund’s NAV and even at a significant
discount/premium to its NAV.
The material has not been reviewed by the SFC.
Issuer: CSOP Asset Management Limited
CSOP SZSE ChiNext ETF
Showcasing the growth potential
of China's new economy.
Unique in HK
The only ETF in HK with access
to the ChiNext market
www.csopasset.com
HKD Counter Stock Code:
3147
RMB Counter Stock Code:
83147
Investment Objective
The investment objective of the Fund is to provide investment results that, before deduction of fees and expenses, closely correspond to the performance
of the Underlying Index, namely, ChiNext Index (the “Underlying Index”).
Investment Strategy
In order to achieve the investment objective of the Fund, the Manager will primarily use a full replication strategy by directly investing all, or
substantially all, of the assets of the Fund in Securities constituting the Underlying Index (“Index Securities”) in substantially the same weightings (i.e.
proportions) as these Index Securities have in the Underlying Index.
The Fund may also invest not more than 5% of its Net Asset Value (“NAV”) in securities other than the Index Securities which have investment profile that
aims to reflect the profile of the Underlying Index. The Fund may also invest not more than 5% of its NAV in cash and money market funds for cash
management purpose.
Currently it is intended that the Fund will directly invest in securities issued within the PRC primarily through the Manager’s RQFII quotas granted by
State Administration of Foreign Exchange (“SAFE”), as the Manager has obtained RQFII status in the PRC.
Why CSOP SZSE ChiNext ETF?
•
Index Introduction
Direct access to ChiNext board
•
The Underlying Index is a free float adjusted market capitalization
weighted index and is designed to represent the performance of the
top 100 A-Share companies listed on the ChiNext board of the SZSE
ranked by total market capitalization, free-float market capitalization
and turnovers. It is compiled and published by Shenzhen Securities
Information Co., Ltd. (“SSICL” or the “Index Provider”). The
Underlying Index covers about 47.08% of the total market value with
good representatives of the entire ChiNext market.
•
The Underlying Index is a price return index which means that it
does not include the reinvestment of dividends from the Index
Securities, such dividends being net of any withholding tax. The
Underlying Index is denominated and quoted in RMB.
•
The Underlying Index was launched on 1 June 2010 and had a base
level of 1,000 on 31 May 2010. As of 30 April 2015, it had a total
market capitalization of RMB 1,005.40 billion and 100 constituents.
The first ETF on Hong Kong Stock Exchange that enables overseas
investors to get access to ChiNext board, a fast growing board in
China onshore equity market.
•
ChiNext Index significantly outperforming SHCOMP
Index and CSI300 Index since its inception
ChiNext Index, a NASDAQ-style Index with innovative and fastgrowing enterprises, especially high-tech companies listed, recorded
193.65% growth since its inception, 1 June, 2010, significantly
surpassing SHCOMP Index and CSI300 Index.
Price Return Performance Comparison
200.00%
SHCOMP
SSE50
Index
Index
ChiNext Index
150.00%
CSI300 Index
100.00%
50.00%
0.00%
Index Performance1
Jun-10
-50.00%
Jun-11
Jun-12
Jun-13
Jun-14
Cumulative Performance(%)
-100.00%
Source: Bloomberg, as of 30 April 2015.
•
Consisting of the most innovative
enterprises with strong diversification
sectors
3 Month
6 Month
1 Year
3 Year
Since
Inception2
22.38%
70.05%
88.86%
122.71%
317.13%
193.65%
and
o Technology, Media, Telecom (63% market cap, 55 stocks)
i.e. Internet (LeTV, EastMoney), Software (WondersGroup, Winning),
Media (HuayiBrothers, WorldLand)
o New Industrials (18% market cap, 20 stocks)
i.e. Environmental Protection (OriginWater), Robot (Siasun), Industrial
automation control (Inovance)
o Healthcare (14% market cap, 18 stocks)
i.e. Cardiac therapy device (Lepu Medical), Biopharmaceuticals (ErKang)
o Others (5% market cap, 7 stocks)
i.e. New Materials/ Energy/ Dietary & Nutrition Supplements (By-health)
Source: SSICL, as of 30 April 2015.
•
1 Month
Future market leader breeder with big growth potential
At the moment, top 10 constituent stocks of the ChiNext Index
account for only 32.44% of total market cap (while for NASDAQ it is
almost 50%) with no particular dominants. ChiNext is a lot like early
stage NASDAQ where future industry leaders such as Apple,
Facebook can be expected. Unlike Hong Kong’s GEM, ChiNext
dosen’t have board-switich mechanism, the future leaders will stay
and grow with the board.
Calendar Year Performance(%)1
20102
2011
2012
2013
2014
2015YTD
14.79%
-34.70%
-2.14%
82.73%
12.83%
94.18%
200.00%
3000
150.00%
2500
100.00%
Index
Level
Return (%)
50.00%
0.00%
6/10
1500
1000
6/11
6/12
6/13
6/14
-50.00%
500
0
Index Level
1.
2.
2000
Source: SSICL, as of 30 April 2015.
Since inception on 1 June 2010.
Source: SSICL, Bloomberg, as of 30 April 2015.
CSOP Asset Management Limited ; 2801-2803 Two Exchange Square, 8 Connaught Place, Central, Hong Kong SAR;
Tel: (852) 3406-5688 ; Website: www.csopasset.com; Email: [email protected]
Cumulative Performance
Index Breakdowns1
Top 10 Index Constituents1
Rank Constituent Name
Information Technology - 47.06%
2
Consumer Discretionary - 12.18%
3
Wonders Information Co. Ltd
300168
Telecommunication Services - 3.92%
4
Huayi Brothers Media Corp
300027
Materials - 2.94%
5
Consumer Staples- 0.97%
6
7
Fund Information
CSOP Asset Management Limited
Listing Date
15 May 2015
Exchange Listing
Stock Exchange of Hong Kong (“SEHK”)
Stock Ticker
RMB counter 83147 / HKD counter 3147
Base Currency
Trading
Currencies
Inception Price
Ongoing charges
over a year
RMB
RMB and HKD
RMB 12
1.27%#
9
10
Siasun Robot & Automation
Co. Ltd
Beijing Origin Water
Technology Co. Ltd
Shanghai Kingstar Winning
Software
Beijing Ultrapower Software
Co.
Wangsu Science and
Technology Co., Ltd
Hithink RoyalFlush
Information Network Co., Ltd.
300024
300070
300253
300002
300017
300033
Information
Technology
Information
Technology
Information
Technology
Consumer
Discretionary
8.76
4.45
3.18
2.67
Industrials
2.63
Industrials
2.54
Information
Technology
Information
Technology
Information
Technology
Information
Technology
2.22
2.07
2.03
1.89
Index Information
Name
ChiNext Index
Launch Date
1 June 2010
Base Currency
RMB
Annually in October subject to the Manager’s
discretion. Distributions may be paid out of capital or
effectively out of capital and reduce the Fund’s NAV
Index Provider
Shenzhen Securities Information Co., Ltd.
Trustee/Registrar
Custodian
PRC Custodian
8
300104
Weighting
(%)
Sector
200 Units
Trading lot size
Dividend Policy
300059
Health Care - 13.96%
Energy - 0.65%
Manager
East Money Information Co.
Ltd
Leshi Internet Information &
Technology Corp
1
Industrials - 18.34%
Stock Code
Index Type
HSBC Institutional Trust Services (Asia) Limited
The Hongkong and Shanghai Banking Corporation Limited
HSBC Bank (China) Company Limited
# As the Fund is newly set up, this figure is a best estimate only and represents the sum
of the estimated ongoing charges expressed as a percentage of the estimated average
NAV. It may be different upon actual operation of the Sub-Fund and may vary from year
to year.
Why ETF?
Underlying Securities
Rebalancing frequency
High Transparency
• Applying a full replication strategy to deliver the performance of
ChiNext Index. The ETF will closely track the index and detailed
information such as ETF component, market price and etc. will be
updated after every trading day on website.
Quarterly
Why CSOP?
•
CSOP Asset Management Limited was founded in 2008 as the first
offshore asset manager set up by a regulated asset management
company in China.
•
With total assets under management of USD 7.08 billion2, CSOP
has established itself as a leading Chinese asset manager in Asia.
•
CSOP is currently the largest RQFII asset manager globally with
allocated RQFII quota of RMB 46.1 billion3 and manages both the
largest equity and largest fixed income RQFII ETF globally.
High Flexibility
• Enable foreign investors to trade the A-share ChiNext stocks like a
single stock in SEHK.
Price return index
top 100 A-Share companies listed on the ChiNext
board of the SZSE ranked by total market
capitalization, free-float market capitalization and
turnovers
CSOP:
China Offshore Fund House of the Year
Low Cost
• Compared with mutual funds, ETFs usually enjoys a lower cost
due to its passive management and stock exchange listed nature.
1.
2.
3.
Source: SSICL, as of 30 April 2015.
Source: CSOP, as of 31 December 2014.
Source: State Administration of Foreign Exchange, as of 30 April 2015.
CSOP:
Hong Kong, Best China Fund House
Hong Kong, Best RQFII Manager
Hong Kong, Best RMB Equity product
Investment involves risk. Please read the offering documents for further details including risk factors. Investment value may rise or fall and there may be
possible loss of principal. Any quoted performance does not indicate future returns. This material has not been reviewed by the SFC.
Issuer: CSOP Asset Management Limited.
CSOP Asset Management Limited ; 2801-2803 Two Exchange Square, 8 Connaught Place, Central, Hong Kong SAR;
Tel: (852) 3406-5688 ; Website: www.csopasset.com; Email: [email protected]