It looks like UOBAM decided to change the index of their China ETF after all.
Instead of tracking the FTSE/Xinhua A50 index, they will now be tracking the SSE 50 index, which represents the 50 largest stocks of good liquidity listed on the Shanghai Stock Exchange (SSE).
The ETF will also be renamed to United SSE 50 China ETF and will start trading from 26 Nov at 2pm.
Because of the changes, investors will be given more time (till noon 25 Nov) to decide whether they want to stay invested in the fund or redeem their units.
You can read the full announcement of the change here:
4 comments
Dennis says:
December 1, 2009 at 11:07 am (UTC 8)
Hi, so do you know if this share is trading ? It was at PL status few days ago, now its lost.
Any idea ? Thanks
lioninvestor says:
December 1, 2009 at 11:12 am (UTC 8)
Hi Dennis,
It’s traded as UETF SSE50 China 100. Code JK8.
Dennis Quek says:
December 3, 2009 at 4:45 pm (UTC 8)
Hi, I’ve found the listed stock. But i thought the price should only change when there are movements in the SSEC index.
Do you know why does the price still change after the SSEC is closed ?
lioninvestor says:
December 4, 2009 at 10:28 am (UTC 8)
Hi Dennis,
The ETF is traded on the secondary market and prices are quoted by market participants as well as market makers.
The actual traded market value of an ETF can deviate from its underlying index. This is because the prices are determined by buy/sell demand and supply. However, arbitrage opportunities will mean the price should trade at close to NAV.