Hang Seng launches China index

Index provider Hang Seng Indexes has launched the Hang Seng China 50 index which is designed to provide a cross-market benchmark of the 50 largest companies listed on the Hong Kong and mainland China stock exchanges. It has also launched a series of short/leveraged indexes and plans to launch a Reit index later this year.

The China index draws on stocks from mainland-listed A and B shares, Hong Kong-listed H shares, red chips and mainland companies issuing other share classes. The index uses a freefloat-adjusted market capitalisation weighting with a 15% cap on the aggregate weightings of individual constituent companies. The short/leveraged indexes comprise short/leveraged versions for both the Hang Seng index and the Hang Seng China Enterprises index. The Reit index will be launched later this year.