Invesco ETF launches two new ChiNext 50 ETFs on the LSE

Invesco ETF launches today two new ChiNext 50 ETFs on the London Stock Exchange

Sign up to our free newsletters

By ETFWorld.co.uk

Joseph Bello, Head of UK Asset Manager ETF Sales at Invesco

Invesco ChiNext 50 UCITS ETF Acc

The Invesco ChiNext 50 UCITS ETF Acc aims to provide the net total return performance of the ChiNext 50 Capped Index, less the impact of fees.

The Reference Index reflects the performance of 50 of the largest and most liquid securities listed on the ChiNext market of the Shenzhen Stock Exchange in China. The Reference Index is constructed from the ChiNext 50 Index, which selects 50 securities with the largest average six-month daily trading value from the ChiNext market. The Reference Index includes the same constituent securities of the Parent Index and applies caps such that at each rebalance of the Reference Index, no individual security weight exceeds 8% and the aggregate weight of securities with weights above 4.5% does not exceed 38%. The Reference Index is rebalanced quarterly.

The fund will generally employ a replication method that seeks to hold, as far as possible and practicable, all the securities in the Reference Index in their respective weightings. However, in circumstances where this is not reasonably possible, the fund will employ sampling techniques to select securities in the Reference Index, which may include but are not limited to industry sectors and liquidity. The use of the sampling approach will result in the fund holding a smaller number of securities than are in the underlying Index.

This ETF is passively managed.

Source: ETFWorld.co.uk