On the morning of July 16, as the bell of the exchange rang, the Saudi ETF under China Southern Fund and Huatai Pineapple Fund was officially listed and traded.
ETF（Exchange Traded Fund），即交易型开放式指数基金，通常又被称为交易所交易基金。
To put it simply, it is an open-end fund that is listed and traded on an exchange and has variable fund shares. Saudi ETFs, on the other hand, mean that Chinese investors can now invest directly in the Middle East's stock markets without the hurdles of opening overseas accounts, complying with complex foreign regulations and dealing with currency exchanges.
After the listing, the exchange trading performance was very lively.
The data shows that the two products opened higher on the same day, and both opened in the afternoon. As of the close of the day, Saudi ETF rose 9.99% throughout the day, with a total turnover of 2.838 billion yuan and a turnover rate of 427.67%; N Saudi ETF rose 10%, with a total turnover of 2.058 billion yuan and a turnover rate of 333.72%. It means that on the first day of listing, the total turnover of the two Saudi ETFs reached 4.896 billion yuan.
(Image source: Straight Flush)
It is understood that the Saudi ETF listed this time is the first Saudi ETF fund product issued in China after the Asia-Pacific Saudi Arabia ETF was launched in Hong Kong last year. The product adopts the mutual access model of ETFs between the Mainland and Hong Kong, linking the capital market resources of the Mainland, Hong Kong and Saudi Arabia.
The two Saudi ETFs raised a total of 1.223 billion yuan, ranking among the top two newly issued QDII funds during the year, that is, funds for qualified domestic institutional investors.
The listing of the Saudi ETF is also another important measure for the opening up of China's capital market.
Pan Shuiyang, fund manager of CSOP Saudi Arabia ETF of CSOP Fund, said that the launch of Saudi ETF has strengthened financial cooperation between China and the Middle East, promoted mutual understanding and trust between capital flows and markets, and laid the foundation for deepening bilateral economic relations. In the current geopolitical landscape, China has increasingly close relations with Middle Eastern countries, and the emergence of ETFs responds to this trend and will provide more channels for economic interaction between the two sides.
Reporter / Li Tiannan, Zhang Xueying
Typesetting / Zhang Xueying
Editor / Cao Mingshan
Proofreading / Mao Yun