BNY Mellon teams up with Shanghai exchange for China ETFs

ShanghaiSE_410BNY Mellon and the Shanghai Stock Exchange (SSE) have signed a memorandum of understanding (MOU) to collaborate on exchange-traded funds (ETFs) based on the BNY Mellon Depositary Receipt (DR) Indices to be traded on the Shanghai Stock Exchange. The SSE is the principal exchange in the People’s Republic of China and the MOU grants it exclusivity for the listing of ETFs which utilise the BNY Mellon DR Indices as a benchmark within the People’s Republic of China.   Gregory Roath, head of Asia-Pacific for BNY Mellon’s depositary receipts business, said: “Our DR Indices are the basis for many ‘first to market’ ETFs representing the emerging and frontier markets. “The inclusion of Chinese single-listed ADRs in our indices will enable potential ETF sponsors to offer an investment product that includes offshore listed Chinese companies such as Baidu, Netease, Home Inns and Ctrip. These companies, which trade exclusively in DR form outside of China, are often left out of many other major indices.” Roath said that an ETF based on the DR Indices would enable mainland Chinese investors to gain real exposure to foreign traded equities and allow them to trade these in Chinese renminbi on the principal Chinese exchange.

©2010 funds europe

Executive Interviews

INTERVIEW: Put your money where your mouth is

Jun 10, 2016

At Kempen Capital Management, they believe portfolio managers should invest in their own funds. David Stevenson talks to Lars Dijkstra, CIO of the €42 billion manager.

EXECUTIVE INTERVIEW: ‘Volatility is the name of the game’

May 13, 2016

Axa Investment Managers chief executive officer, Andrea Rossi, talks to David Stevenson about bringing all his firm’s subsidiaries under one name and the opportunities that a difficult market...


ROUNDTABLE: Beyond the hype

Oct 13, 2016

The use of smart beta investing continues to grow. Our panel, made up of both providers and users, discusses what the strategy actually means, how it should be used and the kind of pitfalls that may arise when using this innovative investment technique.

MIFID II ROUNDTABLE: Following the direction of travel

Sep 07, 2016

Fund management firms Aberdeen and HSBC Global meet with specialist providers to speak about how the industry is evolving towards MiFID II.