Category: Money tips Release Date: 2006-09-17
Mainland only the first ETF (exchange-traded funds), "Birth" has been more than a year, but for many individual investors, ETF is still obscure and mysterious. In this regard, only the first is busy preparing the Shenzhen Stock Exchange ETF ------ Shenzhen Yi 100ETF sale Fonda Fonda easy work of fund Dr. Liu Xiaoyan, director of marketing, told reporters: "In fact, ETF is not hard to understand, nor mysterious, it is is an investment and speculative tilapia species. we have to do is characterized by its widely advertised, so popular and universal. "
Foreign individual investors are keen ETF
ETF is an exchange-traded index funds can be, which combines the advantages of stocks and funds, so investors can trade in the secondary market, like stocks, such as the sale of ETF, based on market conditions to determine different patterns of investment earnings .
According to Barclays Global Investors (BGI) of the study in 2004 of its ETF products increased 60% came from individual investors. In the U.S., individual investors has been formed "When you do not know what to buy stocks, to buy ETF" investment culture. In just 12 years, the global ETF asset size from 1993 to 800 million U.S. dollars to 336 billion U.S. dollars rapid growth, an increase of 420 times the underlying index tracked by an increasingly diversified, as the securities market, one of the mainstream variety.
With a stock selection problem to solve when the 100
Individual investors to buy the most direct benefit of ETF eliminates the trouble of stock picking and "Minesweeper" risk. Many individual investors like to buy blue chips, as blue-chip information transparent, easy to research, easy-to-investment, but also for this reason that the excess returns available to a relatively small, less speculative. Volkswagen favorite medium and small stocks, often dark horse in the small-cap stocks appear to yield high, but stocks changed face of the risks. The best way is to invest in a basket of small stocks, get a relatively high rate of return, easily understood Fonda Shenzhen 100ETF will provide such a tool.
Shenzhen Shenzhen 100 Index includes the flow of the market value of the largest and most actively traded of the 100 constituent stocks on the Shenzhen market is highly representative, with Shenzhen 100ETF, Shenzhen 100 Index trading by investors can be as simple as trading a stock, obtain the "one when the 100" effect. If investors recognized long before the stock market has at the bottom, it is now easy to buy Fonda Shenzhen 100ETF, you can take the cattle in the future, enjoying the prospect of stable index returns.
Flexible and convenient short-term investment transactions
Shenzhen is also a short-term investors 100ETF weapon. With the general open-ended index fund compared to the Shenzhen 100ETF easy Fonda has strong liquidity, transaction convenience, low-cost, capital Daozhang quick advantage. Shenzhen 100ETF listed on the Shenzhen Stock Exchange, investors can be real-time trading price of the sale, convenient and flexible; and transaction costs and closed-end funds, trading commissions do not exceed 0.25%, without revenue from stamp duty, transaction costs of short-term operation is very low. As inclusion of small and medium enterprise board, Shenzhen 100 index volatility even more easily understood Fonda Shenzhen 100ETF price changes in line with the index of high, investors may be based on the index to determine the trend of active short-term operation, we can see the big city will be able to make a profit, so that control them.
For some old shareholders, the hands of the many deep sets of stock, citing the Shenzhen 100ETF Fonda put on sale a view to providing a "one-for-100," the subscription way to help investors to make an inventory of the hands of the stock. In the Yi Fonda raised during the Shenzhen 100ETF, investors may be in the hands of the deep 100-stock index for the Shenzhen 100ETF redemption of the share prices of stocks in the sale of the last trading day (ie, March 17) in average calculation.
Bring more opportunities for financial innovation
ETF derivative products including ETF for the underlying assets such as futures and warrants. ETF popularity warrants an important reason is that investors do not need to learn more about the individual company's fundamentals, just based on their right index to determine the direction of ETF can invest in warrants. As the ETF warrants in relation to the stock warrants, the price is more difficult to be manipulated, liquidity, investors subscribed, put the index is not nothingness, but index funds more easily understood by investors, therefore, will be the first to ETF Broker being the subject of issuing warrants.
In addition to ETF warrants, futures, the ETF is also likely to focus on trading, clearing and other institutional innovations also includes the share of T + O rotation ETF trading, Securities Lending transactions, which are for the majority of investors with more investment options.
