The db x-trackers Harvest CSI300 Index UCITS ETF (DR) will now be allowed to invest and have direct access to certain eligible China A-shares via the Shanghai-Hong Kong Stock Connect.
The Stock Connect is a securities trading and clearing linked program developed by Hong Kong Exchanges and Clearing Limited, Shanghai Stock Exchange (SSE) and China Securities Depository and Clearing Corporation Limited, with an aim to achieve mutual stock market access between the People’s Republic of China and Hong Kong.
The Stock Connect comprises a Northbound Trading Link (for investment in China A-shares) by which investors, through their Hong Kong brokers and a securities trading service company established by the Stock Exchange of Hong Kong Limited, may be able to place orders to trade eligible shares listed on the SSE by routing orders to the SSE.
The ETF will also continue to benefit from and invest through the Renminbi Qualified Foreign Institutional Investor (RQFII) quota given to Harvest Global Investments Limited. The objective of the proposed change is to expand the capacity of the Sub-Fund by benefiting from an additional direct access to China A-Shares listed on the SSE.
The Investment Policy of the ETF will remain unchanged and it will continue to follow a Direct Investment Policy. Harvest Global Investments Limited will continue to perform the investment management function with respect to the assets of the Sub-Fund. In addition, no costs or expenses relating to the above mentioned change and their implementation will be borne by shareholders.
