The Dow Jones Industrial Average China600 Index was first launched on August 1st, 2018 as a benchmark index to measure the performance of the Chinese stock market. The index is made up of 600 large and mid-cap Chinese stocks that are listed on Shanghai and Shenzhen exchanges.
The Dow Jones Industrial Average China600 Index (DJIA CH600 Index) is designed to measure both performance and risk of Chinas A-share market, which is the worlds second-largest after the United States. It primarily invests in stocks listed and traded on the Shanghai and Shenzhen exchanges, which are the two most important stock exchanges in China. The index is comprised of 600 large and mid-cap stocks from sectors such as energy, materials, consumer discretionary, technology, financials, industrial, and healthcare.
The introduction of the Dow Jones Industrial Average China600 Index provides investors an opportunity to assess the growth of Chinas economy. The index was constructed using a modified weighted approach, which means that stocks with higher market capitalizations have higher weights in the index. The Dow Jones Industrial Average China600 Index is updated and re-weighted periodically to reflect the changing Chinese investment opportunities. Since its launch, the DJIA CH600 Index has experienced high volatility and large intra-day and inter-day swings, but has tracked the underlying performance of the A-share market.
Among the features of the DJIA CH600 Index that makes it attractive to investors is its focus on large and mid-cap stocks. Investors can purchase large and mid-cap stocks, which are less volatile, while also getting exposure to China’s A-share market. The index also provides real-time pricing and reports dividends, which makes it suitable for use in tactical asset allocation strategies.
The Dow Jones Industrial Average China600 Index can serve as an excellent benchmark for investors interested in the performance of Chinese stocks and provides a better indication of their performance compared to the Shanghai and Shenzhen Composite Index. With its combined focus on both stocks and sectors, the index provides an ideal way for fund managers, money managers and traders to evaluate market performance in China. The focus on large and mid-cap stocks means that the index provides a more realistic representation of the Chinese stock market than some other regional indices, as it includes many of the most successful and influential Chinese companies.
The Dow Jones Industrial Average China600 Index provides investors an opportunity to invest in Chinas A-share market and measure the performance of the Chinese stock market. The indexs focus on large and mid-cap stocks provides a better indication of the performance of the Chinese stock market and a more accurate depiction of the success of Chinese companies.
