FTSE China A50 is a stock index futures listed in different places, which does more harm than good to A shares. Although A50 futures can enhance the influence of A shares in the world, especially for some large institutions, they use A50 futures to hedge their risks and enhance the attractiveness of A shares to them.
However, for A-shares, A50 futures now do more harm than good, mainly for the following three reasons:
First, from the perspective of price guidance, the price trends of FTSE China A50 stock index futures and A-share SSE 50 spot are highly consistent.
However, because the futures price signal can reflect the market's expectation for the future, FTSE China A50 stock index futures actually robbed the pricing power of A-share futures and weakened the role of local Shanghai and Shenzhen 300 stock market futures.
Second, A50 futures magnified the impact on A shares.
In particular, some domestic institutions use A50 futures as a weather vane, which does not play the role of futures in finding prices in the market, but magnifies the impact on the spot market.
Third, it is impossible to supervise.
For example, the Nikkei 225 stock index futures are also listed in Singapore. In the 1995 incident of Bahrain Bank, SGX relaxed its supervision, allowing Bahrain Bank to hold the open contract of Nikkei 225 stock index futures for more than 1/3, amounting to $7 billion. The Japanese stock market almost let these contracts collapse.
It is conceivable that if the risk exposure of A50 stock index futures is too large, the impact on A shares can be imagined, and the most important thing is that we cannot manage it.
At this point, in the process of highly internationalization of A-shares, the impact of A50 stock index futures on A-shares will increase due to the continuous increase of positions and trading volume.
Comparison between FTSE China A50 and CSI 300 stock index futures FTSE China A50 stock index futures has earlier trading time, longer trading time, lower margin ratio and smaller contract value than # CSI 300# stock index futures, which are his advantages and are also very important reasons for affecting A shares.
Take the contract value as an example. If FTSE China A50 15000 points, the first-hand contract only needs 65438 USD +05000, which is about 90,000 RMB.
Shanghai and Shenzhen 300 stock index futures, Shanghai and Shenzhen 300 points 4866 (closing price last Friday), primary contract value 1459800.
Because of the early opening, many institutions look at the trend of FTSE China A50 to trade. If it opens lower, A shares tend to open lower, which has an impact on the A-share market.
As for the impact of A50 stock index futures on ordinary investors, I have always had a view: at present, if the A-share market maker system is not implemented, many institutions will harvest investors when they are in call auction.
For example, some stocks fell by more than 5% at the opening, which had a big impact on the psychology of some retail investors, especially those with heavy positions, forcing them to cut their meat or cover their positions, thus causing greater losses.
Now the influence of US stocks on A-shares is getting weaker and weaker, and A50 stock index futures have become a sharp weapon for many institutions to harvest investors.
In fact, A50 stock index futures only affected 50 heavyweights, but did not affect other small and medium-sized stocks. But institutions often use the atmosphere of open manufacturing to harvest investors.
Therefore, for ordinary investors, the biggest impact of FTSE A50 is that institutions can easily harvest their own tools, which will also bring the problem of liquidity exhaustion of small and medium-sized stocks.
Therefore, on the one hand, ordinary investors should buy heavyweights or # ETF #; on the other hand, they should diversify their investments and control their positions.
Only by diversifying investment can we cope with enough market shocks.
(Author: no, no, no)