Bringing you live news and features since 2006 

Great Wall of China

Direxion transitions two leveraged ETFs to FTSE China 25 Index

RELATED TOPICS​

Direxion is to transition two of its leveraged exchange-traded funds to the FTSE China 25 Index.

The Direxion Daily FTSE China Bull 3X Shares (YINN) and Direxion Daily FTSE China Bear 3X Shares (YANG) will begin following their new index on 12 December, making them the first pair of 3X leveraged and inverse ETFs in the US to track this composite.
 
The FTSE China 25 is compiled by global index provider FTSE, and consists of the 25 largest Chinese companies listed on the Stock Exchange of Hong Kong. The index ranks stocks by full market capitalisation and weights them by float market capitalisation; each company is capped at 10 percent of the entire index. The FTSE China 25 is a subset of the FTSE China Index Series. In common with all FTSE indices, the FTSE China 25 is managed according to a publicly available set of rules and is overseen by an independent committee of seasoned market practitioners.
 
“As investor interest in the Asian equity markets – and Chinese stocks in particular – continues to grow, we are excited to offer investors exposure to some of the most prominent Chinese companies,” says Eric Falkeis, president of Direxion. “By offering both bull and bear funds that track this reliable benchmark, investors can seek to reap healthy returns no matter what their outlook on Chinese equities.”
 
The Direxion Daily FTSE China Bull 3X Shares seeks to generate daily investment results of 300 per cent of the performance of the FTSE China 25, before fees and expenses. Conversely, the Direxion Daily FTSE China Bear 3X Shares seeks to obtain daily investment results of 300 per cent of the opposite of the performance of the FTSE China 25, before fees and expenses.
 
The funds were launched in December 2009 and are nearing USD100m in combined assets under management, as of 31 October 2013.
 
“FTSE provides benchmarks for more than 60 percent of assets tracking China-themed, US-listed ETFs, and we’re delighted by Direxion’s adoption of the FTSE China 25 Index,” says Jonathan Horton, president of FTSE North America and head of FTSE’s exchange-traded product service unit. “Our relationship with Direxion reflects the growing global demand for multiple ETF vehicles offering exposure to the largest and most liquid Chinese stocks.”

Latest News

Morningstar has published a review of the European ETF market for the first quarter 2024, which finds that it gathered..
ETF data consultant ETFGI reports that assets invested in the global ETF industry reached a new record of USD12.71 trillion..
Calastone has published an ETF white paper which examines several of the processes that take place across the lifecycle of..
Adapting product lines to fit into changing methodologies and meet shifting demand is essential to remaining relevant in the industry..

Related Articles

Kristen Mierzwa, FTSE Russell
Index Investments Group (IIG), a division within index provider FTSE Russell, has extended its range of indices through two new...
ETFs
US ETF issuers of active ETFs are facing an increase in fees from the big custodian firms, such as Charles...
Taylor Krystkowiak, Themes ETFs
Themes ETFs opened its doors in December 2023, with an introductory suite of 11 ETFs – seven thematic and four...
Konrad Sippel, Solactive
At the end of March, financial index specialist, Solactive, published its 2024 annual report on future trends.  ...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by