(3 March 2010, Hong Kong) — China Everbright Limited (“Everbright”) will be added as the constituent of the Hang Seng Hong Kong 35 Index (“Hang Seng 35”) from 8 March 2010, confirmed by Hang Seng Indexes Company Limited. Hang Seng 35 is adjusted from the existing base of Hang Seng HK 25 Index, and this announcement has added 11 stocks, including Everbright. 

 

Hang Seng Index is Hong Kong’s leading index compiler covering Hong Kong and mainland China markets. Established in 1969 with the creation of the Hang Seng Index, and now widely recognised as the barometer of the Hong Kong stock market, Hang Seng Indexes have been at the forefront of the market, developing numerous market measures to help investors reach their investment decisions. Hang Seng 35 is one of the Hang Seng Freefloat Index Series, in terms of freefloat-adjusted market capitalisation, which derive over 50% of their revenue from Hong Kong or elsewhere outside mainland China, and therefore positioning Hang Seng 35 as an index benchmark for the performance of large-cap stocks in Hong Kong. Among the 35 constituent stocks, 22 are from the Hang Seng Composite Index. In order to accommodate the special request from institutional investors, in addition to the freefloat-adjusted market capitalisation, Hang Seng 35 has constrained on the ratio of each constituent stocks in the Index. Everbright, ranking 27th, is accounted for 0.81% of the Index, while HSBC takes 10% as the highest. Hang Seng 35 will have quarterly review of its components. 

 

Everbright said, “The inclusion of Everbright in the Hang Seng 35 is very encouraging to all of us. It does not only promote our market position and investor confidence, domestically or overseas, but also demonstrates the success and recognition of our recent adjustments of the business strategies and development.”Currently, Everbright is a constituent of Hang Seng HK MidCap Index. The inclusion of Hang Seng 35 is largely contributed by the outstanding progress of its “3+2 Macro Asset Management” philosophy in the Hong Kong business, as well as its close collaborations with its Chinese affiliates. Looking ahead, the Company will stay committed in the corporate strategies, thriving various investment funds and asset management business, and further collaborating with its affiliate in China to enhance the overall corporate performance.