We often hear people say: Fixed investment index funds, Shanghai and Shenzhen 300 index is suitable for fixed investment. So what does the Shanghai and Shenzhen 300 Index mean? Let's have a look.

The first thing to say is that the Shanghai and Shenzhen 300 Index and the Shanghai and Shenzhen 300 Index Fund are different.

On April 8, 2005, the Shanghai and Shenzhen Stock Exchanges jointly released the Shanghai and Shenzhen 300 Index, which reflected the compilation goal and operation status of the Shanghai and Shenzhen 300 Index, and can be used as an evaluation standard of investment performance, providing basic conditions for indexed investment and innovation of index derivatives.

So how did the Shanghai and Shenzhen 300 Index come from?

According to the principle of one, 300 stocks are selected from Shanghai Stock Exchange and Shenzhen Stock Exchange, which are called constituent stocks. The sample selection criteria are the stocks of companies with large scale, good operating conditions and good liquidity, and the company has no major violations of laws and regulations in the last year, and there are no major problems in its financial report.

With the development of the stock market, the constituent stocks of the Shanghai and Shenzhen 300 Index are not static, and the constituent stocks that used to be in the Shanghai and Shenzhen 300 Index may not exist in the future.

It can be simply understood that the Shanghai and Shenzhen 300 Index is the average of all stocks in the securities market.

The Shanghai and Shenzhen 300 Index Fund is a fund established by tracking the Shanghai and Shenzhen 300 Index. The smaller the tracking error, the more accurate the tracking.