The Nation's First Domestic China Active ETF Launch.. SOL China Growth Industry Active

[Asia Economy Reporter Junho Hwang] The first active exchange-traded fund (ETF) investing in Chinese stocks in Korea is being launched. Shinhan Asset Management will list the SOL China Growth Industry Active (Synthetic) ETF on the Korea Exchange on the 13th. This product is also Shinhan Asset Management's first active ETF.

The benchmark index for this product is the STAR Market (STAR50) index of the Shanghai Stock Exchange. The portfolio is composed of STAR Market constituent stocks and industries supported by the Chinese government's growth initiatives, aiming to achieve excess returns compared to the benchmark index.

In particular, this product differentiates itself by actively managing 'growth industries' that benefit from Chinese government policies. Based on Shinhan Financial Investment's global research capabilities, growth industry themes are selected through analysis of the Chinese economy and policies, and managed through professional analysis by analysts specializing in Chinese companies.

The performance differences among major Chinese stock indices have changed annually according to economic structure and policy shifts. Especially since the Chinese government's Made in 2025 policy in 2018, the growth model has shifted to a new economy focus, and growth industries have gained attention in the stock market. This year, the early phase of the 14th Five-Year Plan (2021?2025), which forms the basis of China's mid- to long-term policies, is gaining momentum, raising expectations for policy benefits and structural growth from the Chinese government.

Center Director Kim Jeong-hyun stated, "China still has limited access to overseas investment capital and presents higher difficulties in analyzing its unique political and economic environment compared to other countries, making active investment more effective. Although investing in China remains challenging and sometimes diverges from global stock market trends, we will strive to find answers for Chinese investment through the SOL China Growth Industry Active (Synthetic) ETF."

This content was produced with the assistance of AI translation services.