MSCI launches China Technology 100 Index! Meituan has a maximum weight of 12.85%
MSCI, the world’s leading investment decision support tool and service provider, released the MSCI China Technology 100 Index. Among them, information technology companies account for the largest proportion, with as many as 29 e-commerce companies, and Meituan has the highest weight at 12.85%.
MSCI launched the MSCI China Technology 100 Index and China A-Share Onshore Technology 100 Index to meet the investment needs of domestic and foreign investors for China’s leading technology and innovative economic enterprises.
Lin Weijie, President of MSCI Asia Pacific Business Department, said:
In the past five years, China has gradually transformed from a “traditional economy” driven by production and manufacturing to a “smart economy” dominated by consumption and services. Chinese companies have increasingly led the world in innovation and R&D expenditures.
Lin Weijie added:
Industrial innovation and the growth of a technology-based digital ecosystem are disrupting traditional industries and creating new industries. When investors measure the performance of technology companies-these companies are driving changes in multiple industries such as consumption, travel, automation, and medical services-traditionally based on a single industry technology index construction method will be limited. Investors put forward demands for innovative solutions to get rid of the constraints of traditional industry classification, so our innovative pan-tech index came into being.
The above index is compiled to cover 27 technology-focused sub-themes. It identifies companies in the technology value chain that may not only involve the information technology field but may also span multiple traditional industries. This stock selection methodology is not subject to industry classification, and its inclusion criteria are independent of the company’s industry or sub-industry classification, which helps present broader and broader investment opportunities across industries and fields.
The goal of these indexes is to reflect the performance of disruptive growth companies that use technology to change business models and how they interact with society. The index is compiled to cover stocks across the consumer, communications services, healthcare, and information technology industries.
With the development of the smart economy, the number of companies in the above-mentioned related industries may increase, and the target business activities or subtopics of the index may also be gradually expanded and improved with the development of technological innovation. Doug Walls, the main pipeline of MSCI Asia-Pacific index products, said:
China has maintained a relatively high economic growth rate in the past 30 years of economic reforms and is expected to account for 19% of the global gross domestic product (GDP) in 2024. In recent years, China’s overall R&D expenditure has reached 463 billion US dollars, second only to the United States.
In the past few years, technological innovation has played a key role in promoting China’s economic transformation and has long been integrated into the life cycle of various industries and products and services, promoting China to become a global leader in technology and digital ecosystems. The above-mentioned index series aims to To help investors grasp the opportunities brought about by these trends.