Investment tips for this issue:
Huaxia China Securities all refers to information technology (fund code: 562560, market abbreviation: information technology ETF), which was listed on April 12. The fund manager is Mr. Lu Yayun. The fund closely tracks the China Securities Full Index Information Technology Index (000993.SH), pursues close tracking of the target index, and pursues minimization of tracking deviations and tracking errors. The fund management rate is 0.50%, and the custodian fee rate is 0.10%.
China Securities all refers to the Information Technology Index (index code: 000993.SH, hereinafter referred to as “information technology”). Published by China Securities Index Corporation, the index has a base date of December 31, 2004, and is based on 1000 points. Its constituent stocks are selected from the information technology industry, where all sample stocks from the Chinese Stock Exchange are selected, a sample constituent index of listed companies with good liquidity and market representation is selected, and compiled through free circulation and weighted by market capitalization. As of March 31, 2024, all of the 154 constituent stocks of information technology have a total market value of 5.67 trillion yuan, with a total market value of 3.01 trillion yuan in free circulation. The index has large capacity and wide market capitalization coverage, covering both leading companies with a total market capitalization of 100 billion yuan or more, as well as more companies under 20 billion yuan.
The constituent stock industry is scattered and highly representative of various fields. As of March 31, 2024, the total weight of the top ten constituent stocks accounted for 28.98%, and the highest weight of constituent stocks was less than 5%, which is quite scattered. The top two major Shenwan industries in the index are electronics and computers, with a total weight of 96.1%. The second-level industry has the highest number of semiconductors and market value, followed by software development and consumer electronics. Among PE positive constituent stocks, there are 81 PE that have been below the 50% quartile in the past 10 years. The current valuation level of most constituent stocks is moderately low.
Constituent stocks account for a high share of R&D expenses, and there is plenty of room for development in the sector. Of the 154 constituent stocks in the index, 19 individual stocks accounted for more than 30% of revenue in 2022, and more than half of individual stocks accounted for more than 10% of R&D expenditure, indicating that companies value investment in R&D and have sufficient potential for growth. According to the amount of completed fixed asset investment in the information transmission, software, and information technology services industry in the tertiary sector and the growth of this portion of GDP, the cumulative investment in this sector over the past 9 years has remained above 10% year-on-year, and the level of attention is high. However, in the past two years, the sector's output has maintained a high growth rate.
Risk warning: The research and analysis of fund products and indices in this report is based on historical public information, which may cause certain analytical biases due to changes in index sample stocks; in addition, the historical performance and performance of fund managers does not represent the future; future performance of the index is affected by multiple factors such as the macro environment, market fluctuations, and style changes, and there is a certain risk of fluctuation.