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Hi Lioninvestor,
Thanks for the info…
I am interested in UOB SSE50 as it allows us exposure to SSE A shares market directly.
My concern: Is SSE “safe” in terms of regulation. Can UOB SSE50 etf be “clobbered” just like Malaysia?
How is the structure of UOB SSE50 different from Lyxor Entreprise or Ishares A50 2823.hk? It seems to me that UOB SSE50 etf structure is more complicated (e.g P-notes issue, counterparty risk and QFII investment quota, etc).
In your opinion, if you want to invest in SSE Ashares, will you purchase UOB SSE50 etf?
Lastly to you and intheknow and all,
Merry Christmas and Happy New Year
You all have done an excellence job in educating the public about financial issue.
Hi all,
It is exciting that singapore investors can participate in China growth through UOB ETF.
However, I notice that for this ETF, there are many fees and charges payable (from prospectus).
Manager’s fee (Current: 0.45% pa and max 1.5% pa)
Trustee’s fee (Current: 0.10% pa and max 0.25% pa)
Maintenance’s fee (Current: 0.30% pa)
P-Notes transaction fee (Current: 0.40% per transaction)
Can I say that yearly fees and charges by the fund is at least 0.85% (0.45+0.10+0.30)? If P-Notes transaction fee is included, the yearly fees and charges will be higher than 0.85%.
In terms of fees and charges, can I say Lyxor China Enterprise is better as this ETF charged 0.65% pa and max is 0.65%?
Anyone want to comment on the pros/cons of UOB China A-shares ETF versus Lyxor China Enterprise H-shares ETF?
Thanks
ReplyHi hopeful,
Comparing the expenses, it will be 0.65% vs 0.85%. There isn’t a p-notes transaction fee for lyxor but the underlying may still incur transaction costs when they buy/sell the underlying stocks.
However, note that ultimately, these 2 track different indexes.
Lyxor tracks the Hang Seng China Enterprises Index (Hong Kong listed H-shares of China enterprises).
UOB tracks SSE 50 index, which represents the 50 largest stocks of good liquidity listed on the Shanghai Stock Exchange (SSE).
ReplyHello,
Anyone can predict what will be the opening price for the China A Share ETF (UCA50ETF) on this Thursday? =)
Rgs,
p.C
Hi,
I applied for the ETF from ATM. Can any one tell me how will I know I have been allocated the shares. How to check? Thanks.
Rgs,
pC
Hi Paul,
you can check your CDP account online or wait for the CDP statement to arrive.
ReplyHi,
I am interested to apply for the A share. But my trading account is linked to OCBC. What should I do?
Rgs,
p.C
Hi Paul,
You can wait for it to be available on the open market.
ReplyChina A50 ETF will invest into a type of market access product known as participatory notes (the “P-Notes”), instead of investing directly into A-Shares, would like to seek your professional comments on what’s the return prospect and potential risk involved?
Thanks.
ReplyHi Vy,
There will be a certain amount of exposure to the counterparty risk of the P notes issuer.
ReplyHi,
It’s my first time to buy units of ETF. i plan tol apply it through UOB ATM. but i have few questions and need your advice. thanks.
a) how to sell the units in future? by myself or must through participating broker?
b) what the cost if i hold (keep) the units
c) what the cost when i sell it in future?
Hi C&C,
the ETF is traded like normal shares. You can sell through any stock broker. Normal brokerage applies. Typically 0.275% (min $25) if traded online + GST + CPD clearing charges. Cost of ETF is in-built so you don’t need to fork out any cash for holding.
ReplyHi Bao,
investors can apply for units of the ETF via UOB ATMs or through the participation dealer, UOB Kay Hian Pte Ltd (either directly or through a stockbroker), subject to applicable terms and conditions. Where an investor is submitting his application to a Participating Dealer through his stockbroker, that investor should contact his stockbroker for the applicable deadline for such submission. The minimum subscription during this period is 1,000 units. Upon listing, the ETF will be quoted and traded in board lots of 100 units.
ReplyI do not have UOB account and ATM card, neither do i have account with UOB Kay Hian Pte Ltd. I won’t be able to buy during IPO. BTW, do you think is it worth to invest in UOB to Launch China A-shares ETF?
ReplyHi Bao,
You can always buy after it is listed even if you can’t apply now.
As to whether it is worth it to invest, it will depend on whether you are bullish on the China stock market.
ReplyHi Lion Investor
Like to consult you:
a. Will the UOB ETF pay dividence?
b. How the exchange rate between S$ vs CNY affect the value of the ETF ?
Thanks
ReplyHi Coffee-o,
The dividends received from the companies making up the index will be reinvested. The ETF might or might not pay out dividends.
As you are holding CNY assets, an appreciate of the CNY will be positive for you.
Reply