And who is the driving force behind the outbreak of ETF scale? What are the leading factors behind it? Just because "others are afraid of me, they are greedy, and others are greedy and I am afraid"?
With these questions, let's take a look at what has happened in these months.
1, what happened?
ETF is called "transactional open index fund" and "passive index fund". In other words, ETF index fund itself combines some characteristics of index, stock and fund, so it is more convenient to buy and sell on the market, or to buy and redeem on the market. Similar to ordinary Public Offering of Fund, ETF also provides investors with a certain proportion of a basket of stocks, bonds and other assets.
According to the index types tracked, stock ETFs are mainly divided into five categories: typical broad-based index ETF, style index ETF, industry index ETF, theme index ETF and overseas index ETF. ETF tracking typical broad-based index accounts for the most, followed by industry index ETF. Among all kinds of stock ETFs, broad-based index ETFs have the largest number.
Because the price and net value of ETF are very close most of the time, one advantage of ETF is that it can be applied to a variety of arbitrage strategies, such as ETF and primary and secondary market arbitrage, stock index futures and ETF arbitrage. In addition, ETFs cater to investors' preference for low-cost products, so the scale and quantity of ETFs in China and the United States have maintained rapid growth in recent years.
Simply put, buying and selling an ETF is equivalent to buying and selling the index it tracks, and you can get basically the same income as the index. However, this kind of fund usually adopts a completely passive management mode, aiming at fitting an index. The fund manager does not take the initiative to manage, but only completes the target allocation of the corresponding index.
According to the past rules, the share change of stock ETF funds basically follows the rhythm of bull-bear conversion in the capital market. According to the data of Galaxy Securities Fund Research Center, the biggest growth years of equity ETF funds are: 2007 (637. 14%), 2009 (246.38%), 20 14 years (58.28%) and the first half of 20 15 years.
However, the 20 18 stock market is a small year. Year-to-date, the Shanghai Composite Index has fallen by 19%, but the stock ETF has grown against the trend. From June 5438 to September this year, the stock ETF assets increased by 26.8 1%, but the share scale increased by 59.89%. On June 5438+ 10, the stock ETF showed explosive growth. The data shows that the net subscription amount of 10 is about 42.5 billion yuan, and the funds seem to ignore the continued downturn in the A-share market.
In addition, according to the data, more than 80% of the capital flows have gone to broad-based index products such as SSE 50 Index, CSI 300 Index, CSI 500 Index and Growth Enterprise Market this year. Secondly, the head ETF with large scale and good liquidity attracts more gold.
As of June165438+1October 13, the market share of 164 ETF increased by1314.23 million copies compared with the beginning of the year. Specifically, more than 90% of its share and scale growth comes from stock ETFs, which shows that a large amount of funds are pouring into the stock market through ETFs. Hu, general manager of Galaxy Securities Fund Research Center, recently publicly stated that the scale of stock ETF is expected to double in 20 18.
A typical example is the GEM 50ETF. Huaan Growth Enterprise Market 50ETF( 159949) is the fund with the largest share change among all stock ETFs. The Fund was established on June 30th, 20th16th. At the beginning of the establishment of GEM, the fund size was only 550 million yuan. After the establishment of the fund, the growth enterprise market index continued to fall by nearly 40%, and the size of the fund was once reduced to about10.60 billion yuan. 20 17 was only 200 million yuan in the fourth quarter, but it soared to 2.83 billion yuan in the fourth quarter and 7.53 billion yuan in the third quarter, and the fund share soared to 2 162 billion, an increase of 74 times.
In addition, the share of Huaxia SSE 50ETF( 10050) has also increased by 44% this year, and the fund scale has exceeded 40 billion yuan.
2. Who is sweeping the stock ETF?
Behind the surge in the size of equity ETF funds, who is crazy about sweeping goods?
Since September, the media reported that insurance, securities, Huijin and other teams ran into the market to bargain-hunting, which was also verified in the change of ETF fund holders.
Take Hua 'an Growth Enterprise Market 50ETF( 159949) as an example. 20 17 annual report shows that the top ten holders are almost all natural persons, and the first one holds 6 million shares, which is 2% of the fund. By the semi-annual report of 20 18, the top ten holders have all become institutions, and the threshold of the top ten holders has also been raised to 70 million.
Securities, securities asset management, Huijin, etc. It also entered the market in this way in the third quarter. Huijin, social security, etc. Subscribed to SSE 50, CSI 300, CSI 100, GEM and other ETFs. In addition, many overseas funds are invested in A shares through exchange traded index funds (ETFs) in the Hong Kong market. Since the fourth quarter, half of the10 ETFs with the largest subscription volume in the Hong Kong market are A-share ETFs; The main targets of funds are blue-chip products such as FTSE A50 and CSI 300.
In fact, since the second half of the year, the scale share of many ETF products has continued the momentum of the first half of the year, continuing to hit new highs, and the single-day trading volume has repeatedly broken records. The data shows that as of June 4th, the scale of 1 169 ETF (non-monetary) products in the whole market has increased since the second half of the year, accounting for more than 70%. Among them, the scale of five products increased by more than 100% compared with the end of the first half of the year.
3. Why do institutions snap up ETFs?
The characteristics of ETF make it reflect the views of funds on the market outlook to a certain extent, and become an advantage valued by many capital allocation capital markets.
Take the GEM 50 Index as an example. Since June 30th, 20 14, the P/E ratio has generally been above 40 times. As the market goes down, the lowest price has fallen below 30 times this year, hitting a record low of 27 times, which is quite rare in the index tracking small and medium-sized market capitalization. It is not surprising that it is comparable to the double eleven discount of ETF index funds that "the more you buy, the more cost-effective", attracting institutional funds to flood into the bargain-hunting.
The flexible trading characteristics of ETF provide these institutional investors with short-and medium-term trading index tools, and have two investment methods: short-term capital allocation and long-term value investment.
In addition, although the overall market trend is still fluctuating and adjusting, stock ETFs are strongly sought after by funds, and also benefit from the recent heavy measures introduced by the A-share government to consolidate the "policy bottom". This also boosted the confidence of institutional funds to enter the market.
Of course, behind the collective decline of the A-share market is the concentrated exposure of the equity pledge risk of private listed companies, and the allocation of ETF index funds also avoids the risk that individual stocks may step on the thunder.
4. What are the implications for investors?
The capital movements of institutions, especially those with team background, often become the vane of A-shares, and the market is also keen to tap the opportunities brought about by changes in institutional positions. Since A-shares bottomed out in mid-June, the GEM index has risen by 16%, the GEM 50 index by 18%, and the securities industry index (Shen Wansan) by 26%. According to statistics, these
The data shows that in addition to the Growth Enterprise Market, ETF index funds in environmental protection, brokerage, banking, media, medicine, military industry and other industries are also quite popular.
(Article source: Ge Longhui)