SSE Composite Index

The SSE Composite Index ( Shanghai Stock Exchange Composite Index ) is the main stock index on the mainland of the People's Republic of China. It includes all on the Shanghai Stock Exchange listed companies (A and B shares).

Calculation

The SSE Composite Index is a price index in which all public companies are listed on the Shanghai Stock Exchange. The Index will be determined solely on the basis of share prices and adjusted only to income from subscription rights and special. The weighting is based on the market capitalization of the companies listed. Corporate actions such as stock splits have no ( distorting ) influence on the index. The calculation is during trading from 09:30 bis 11:00 clock clock local time ( 02:30 bis 04:00 clock clock CET) and between 13:00 and 15:00 clock clock bis local time ( 06:00 bis 08:00 clock clock CET) updated every second.

The SSE Composite Index A and B shares are listed. An A-share refers to the share of a company, which is traded in Renminbi, the currency of the People 's Republic of China. Originally, these shares could be acquired only by Chinese citizens. Since 2002, these are also available for so-called QFII ( Qualified Foreign Institutional Investors ). A B share refers to the share of a company, which is traded in foreign currency. The nominal value of B shares is fixed in Renminbi. In Shanghai B- shares are traded in U.S. dollars. B- shares are in contrast to the A- shares available to foreign investors, and since 2001 for Chinese nationals, which accounts for foreigners (especially overseas Chinese ) open. A company may issue both A - and B- shares. However, since no arbitrage between the stock types are allowed, the value of the shares may differ in some cases significantly.

History

20th century

The SSE Composite Index was first published on 15 July 1991 and determined according to the weighting by market capitalization. The base value was set at 100 points on 19 December 1990. In 1992, Deng Xiaoping encouraged and the State Council approved the extension of the exchange experiments. The administrative prescribed limits of five percent price change per day on the Shanghai Stock Exchange have been lifted. On 21 May 1992, the Shanghai Composite achieved with 105.27 percent, the highest daily gain of the story. Until 25 May 1992, the index rose to 1421.57 points. Since 19 December 1990 ( closing level of 99.98 points ) the profit is 1321.9 percent.

In the summer and fall of 1992, the Chinese benchmark index lost 71.9 percent of its value. On November 19, 1992, he ended trading at 398.95 points. The high volume of equity issues overwhelmed the capacity of the market. Small investors withdrew from the market. In winter 1992/1993 the index rose rapidly. The central bank had to closed-end investment funds. The stock market turnover skyrocketed and the price manipulation increased. On 15 February 1993, the SSE Composite Index stood at 1536.82 points. The gain since November 1992 is 285.2 percent.

By 29 July 1994, the Shanghai Composite fell to 333.92 points, a drop since February 1993 by 78.3 percent. The supervisory bodies went in 1994 with decrees and penalties against securities fraud and price manipulation. The government resorted to "save the market" one. The raising of capital for securities trading company was relieved. 1996 was reaffirmed at the highest political level and in the 9th Five Year Plan, the government funding of the securities market and strengthen investor confidence. In the following years the index again rose sharply.

21st Century

On 13 June 2001, the Chinese benchmark index closed at 2242.42 points. The gain since July 1994 is 571.5 percent. After the bursting of the speculative bubble in the technology sector ( dot-com bubble ), the index fell to a low of 1011.50 points to 11 July 2005. That was a decline since June 2001 by 54.9 percent. The July 11, 2005 marked the end of the descent. From the summer of 2005, the SSE Composite was back on the way up. On 26 February 2007 he joined for the first time over 3,000 points. The following day he fell to 8.84 percent to 2771.79 points. On 23 August 2007, the index exceeded for the first time the 5,000-point mark. On October 16, 2007, the Shanghai Composite reached an all time high with a closing level of 6092.06 points.

The rapid development of the index since July 2005, was for many market experts already, the signal of overheating. The "bubble" was driven in part by many private investors who invested even the smallest amounts ( often debt). In the course of the international financial crisis in the U.S. real estate crisis originated in the summer of 2007, the SSE Composite began to fall again. On February 19, 2008, the index suffered with 16.74 percent, the highest daily loss in its history. A new low was achieved by the index on November 4, 2008, when he finished trading with 1706.70 points. This represents a decline since 16 October 2007, at 72.0 percent.

November 4, 2008 marks the turning point of the descent. From the autumn of 2008, the Shanghai Composite was back on the way up. Until 14 April 2010, he rose by 85.5 percent to a closing level of 3166.18 points. The euro crisis from 2010 and the slowdown of the global economy in 2011 led to a fall in the Chinese leading index. On 3 December 2012, the SSE Composite closed trading at 1959.77 points. The loss since its peak on 14 April 2010 is 38.1 percent.

Highs

The overview shows the all-time highs of the SSE Composite Index.

Milestones

The table shows the milestones of the SSE Composite Index since 1990.

The best days

The table shows the best days of the SSE Composite Index since 1990.

The worst day

The table shows the worst days of the SSE Composite Index since 1990.

Annual development

The table shows the development of the SSE Composite Index since 1990.