Introduction to the FTSE China A50 Index

  • 2025-07-18

 

What exactly is the FTSE China A50 Index? Let's conduct a detailed analysis of the FTSE China A50 Index and examine the specifics of its related products.

The FTSE China A50 Index comprises the 50 largest companies by market capitalization in China's A-share market, representing 33% of the total A-share market capitalization. It is the most representative index of China's A-share market, and many international investors regard it as an accurate benchmark for measuring the Chinese market. The FTSE China A50 Index was launched in September by FTSE Xinhua Index Limited, a joint venture between Xinhua Financial Network and UK's FTSE Group, one of the world's top four index providers.

FTSE employs transparent calculation methodologies and management for its indices, ensuring all indices are investable and directly trackable. The guiding principles of FTSE indices are as follows: all constituent stocks are free-float adjusted; all constituent stocks undergo liquidity screening; providing the most relevant and user-friendly industry classification system for trading and investment decisions; all indices have clear and publicly available compilation rules, allowing index management under all foreseeable circumstances.

The A50 Index is composed of the 50 largest qualified companies selected from the A-share market according to the FTSE China A-Share Index rules. Its metrics, including performance, liquidity, volatility, sector distribution, and market representativeness, are all at leading levels in the market. The index samples the top 50 A-share companies by free-float adjusted market capitalization from both Shanghai and Shenzhen exchanges, with the base period set at July 21, 2003, and the base point at 5000. The constituent stocks are reviewed quarterly in January, April, July, and October each year.

To stay updated on the FTSE China A50 Index, understand related products, and trade this product more effectively, it's essential to find the right platform for easier trading.

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