BNY Mellon teams up with Shanghai exchange for China ETFs

BNY 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

HAVE YOU READ?

THOUGHT LEADERSHIP

The tension between urgency and inaction will continue to influence sustainability discussions in 2024, as reflected in the trends report from S&P Global.
FIND OUT MORE
This white paper outlines key challenges impeding the growth of private markets and explores how technological innovation can provide solutions to unlock access to private market funds for a growing…
DOWNLOAD NOW

CLOUD DATA PLATFORMS

Luxembourg is one of the world’s premiere centres for cross-border distribution of investment funds. Read our special regional coverage, coinciding with the annual ALFI European Asset Management Conference.
READ MORE

PRIVATE MARKETS FUND ADMIN REPORT

Private_Markets_Fund_Admin_Report

LATEST PODCAST