Hang Seng Composite Index - Netease June 2020 Rebalance

[shri]

Saw this in the change / rebalance notification.

- Does this mean that 9999 is included in the main index and 2800 will be rebalanced as of June end?

Or has Netease been added to the sub indexes?

[Kowloon72]

Interesting. I mean, the shares aren't weighted, right? So no reason why it should be delayed in the same way 9988 and 1810 have been.

I missed out on the IPO, so would be really pleased to see it added to 2800 as soon as possible. Currently 3 of the top 10 companies listed by market cap, and 4 of the top 15, aren't on the index (or the corresponding ETF), will be great when that changes. Concerns over governance aside (that ship sailed when H-shares were added, surely?), returns will almost inevitably improve.

[shri]

The morningstar bit is clearer.

NetEase Inc. is set to join the Hang Seng Composite Index after the Nasdaq-listed Chinese company debuted in the city earlier this week.

NetEase, which started trading in Hong Kong on Thursday, has met the requirement for fast entry onto the benchmark, Hang Seng Indexes Company said Friday.


NetEase, known for its games and music platform, will also be added to the Hang Seng Internet & Information Technology Index.

https://www.morningstar.com/news/dow...omposite-index

[shri]

Original Post Deleted

Due for inclusion in Sept in the main HSI index, right?

Thanks for pointing my mistake. It is the HSCEI .. not the main HSI index.

[traineeinvestor]

Well, someone likes the influx of new economy refugees from the Land of the Free:

<Research Report>Jefferies Estimates HSI to Test 30,000 in Next 6 Mths; May Ride on New Econ Stocks' DebutAASTOCKS Financial News - Popular News

[Kowloon72]

Well, someone likes the influx of new economy refugees from the Land of the Free:

<Research Report>Jefferies Estimates HSI to Test 30,000 in Next 6 Mths; May Ride on New Econ Stocks' DebutAASTOCKS Financial News - Popular News

I don't really know enough about how it all works, people like yourself and others on here will know more, but if they are going to be replacing the likes of Want Want China Holdings with Ali Baba and Xiaomi, it's hard to see how it won't dramatically increase the value of the index.