On the evening of March 27, the Shanghai Stock Exchange (hereinafter referred to as the "Shanghai Stock Exchange") issued an announcement stating that the recent revision of the Shanghai Stock Exchange Dividend Index compilation plan will be implemented on April 13.

　　The SSE Dividend Index compilation plan has been revised in three aspects, including the increase in the inspection period of the dividend rate indicator from the past two years to the past three years, the restriction on the dividend payout rate, and the adjustment of the dividend yield rate but small market value. Constituent stocks have weight caps.

　　The Shanghai Stock Exchange stated that after the revision of the compilation plan, the SSE Dividend Index will better help investors invest in the securities of high-dividend listed companies while meeting the requirements of diversification, stability and tradability, and will become an important part of meeting market demand and serving investors. action.

　　According to the relevant person in charge of Huatai-PineBridge Fund, it is estimated that after the dividend index is optimized, the product capacity of the dividend ETF is expected to increase by 10 billion to 20 billion yuan on the basis of the existing scale.

　　Revise three aspects

　　In order to further improve the investability of the index, the Shanghai Stock Exchange and China Securities Index Co., Ltd. have revised the compilation plan of the SSE Dividend Index in three aspects.

　　In the sample space, the dividend distribution conditions are revised to be continuous cash dividends in the past three years, and the average dividend payout ratio in the past three years and the dividend payout ratio in the past year are both greater than 0 and less than 1. The dividend distribution conditions applicable to the old sample during regular adjustment are dividend payments in the past three years. The mean rate is greater than 0 and less than 1.

　　The sample selection method is revised to rank the securities in the sample space according to the average cash dividend yield of the past three years from high to low, and select the top 50 securities as index samples.

　　The upper limit of the weight of individual stocks is revised so that the weight of a single sample does not exceed 10%, and the weight of a single sample with a total market value of less than 10 billion yuan does not exceed 1%.

The rest of the preparation programme remains unchanged.

　　The relevant person in charge of Huatai-Pinebridge Fund analyzed that the main content of the revision is to further increase the threshold of the dividend rate, increase the inspection period of the dividend rate indicator from the past two years to the past three years, and improve the stability of the index dividend rate by restricting the dividend payout rate. and sustainability, while still maintaining the unique way in which the dividend index's dividend yield is weighted to prevent market capitalization weighting from diluting the index's dividend yield.

　　In response to the issue of market capacity, "the index revision sets a weight limit for the constituent stocks with high dividend yield but too small market value, which not only maintains the consistency of the positioning and strategy of the dividend index, but also expands the market capacity of the dividend index, which can better to meet the investment needs of investors." The relevant person in charge of Huatai-Pinebridge Fund said at the same time.

　　The Shanghai Stock Exchange Dividend Index was released in 2005. 50 securities listed on the Shanghai Stock Exchange with high cash dividend yield, relatively stable dividend distribution, certain scale and liquidity are selected as index samples to reflect the overall performance of high dividend securities in the Shanghai Stock Exchange.

　　The Shanghai Stock Exchange said the historical dividend yield of the SSE Dividend Index averaged about 4%, higher than the traditional broad-based index.

　　At present, there are nearly 20 dividend index products on the market, with a total scale of more than 30 billion yuan. Among them, the largest product is the Shanghai Stock Exchange Dividend Index. The total scale of the tracked index products exceeds 18 billion yuan, accounting for about 60% of the total dividend index products in the market. , and the scale continues to increase.

　　The cumulative yield this year is 3.78%

　　Since the beginning of this year, in an environment of many uncertainties, the high-dividend sector has performed better.

　　"Faced with the complex market environment this year, dividend strategies based on high dividends deserve everyone's attention. Currently, high-dividend companies with relatively stable profitability, abundant cash flow and good governance are more likely to be favored; in addition, lower valuations The level can reflect good defensive attributes." The relevant person in charge of Wells Fargo Fund said.

　　It is understood that the annualized return of the Shanghai Stock Exchange Dividend Index since the base date is higher than that of the Shanghai Stock Exchange Index.

　　The relevant person in charge of Guosen Securities said that the industry distribution of the SSE dividend index is relatively balanced, benefiting from the main line of steady growth.

The average market value of the Shanghai Stock Exchange Dividend Index is 180.800 billion yuan, and the overall market value is relatively large. The price-earnings ratio is 5.31, which is at the 1.86% quantile since the release date. The price-to-book ratio is 0.63, which is at the 1.79% quantile since the release date. , with cost-effective investment.

　　He also introduced that the cash dividends of the constituent stocks of the Shanghai Stock Exchange Dividend Index are relatively high, the ROE (return on equity) is generally maintained at more than 10%, and the profit model of the constituent stocks is mature and stable.

The annualized return of the SSE Dividend Total Return Index since 2005 has reached 10.46%, compared to the 5.76% annualized return of the Shanghai Composite Index.

　　The relevant person in charge of Shenwan Hongyuan also said that the performance of the index has been stable, significantly outperforming the major broad-based indexes and other dividend indexes in the market in the past year, with stable operating performance and excellent profitability indicators.

Analyzing the historical data of each quarter of last year and the forecast data for 2021, the ROE and earnings per share indicators of the Shanghai Stock Exchange Dividend Index are both higher than the entire market.

In the past two years, the index profitability indicator has always maintained a stable state, with relatively small fluctuations, and the overall performance has been relatively stable.

　　"Learning from the development experience of overseas mature markets, as capital markets continue to mature, dividend returns will become an important source of investor income and an important indicator of mature markets. Judging from the performance of the US S&P 500 over the past 20 years, listed companies The dividend distribution and reinvestment of the company can account for about 40% of the total investor return, which is also very close to the return brought by the growth of the stock price.” said the relevant person in charge of Huatai-Pinebridge Fund.

　　At present, the total annual cash dividend of the Shanghai stock market is about one trillion yuan, and the dividend rate has reached 2.22%, which is roughly equivalent to the S&P 500 index and the Dow Jones Industrial Index.

　　"On the whole, the willingness and proportion of dividends of listed companies in the A-share market have shown an increase year by year. Whether in the United States or in China, ETF products with dividend-related concepts occupy an important position in passive index products. With the The improvement of the dividend system in the A-share market and the encouragement of the regulators for the dividend policy of listed companies, the products with dividend-related concepts deserve long-term attention from investors.” said the relevant person in charge of Guosen Securities.

　　The relevant person in charge of Huatai-PineBridge Fund said that the Shanghai Stock Exchange Dividend ETF has gradually become favored by investors due to its high dividend distribution and low valuation and volatility, and the size of the fund and the number of holders have also continued to increase.

Since the end of 2019, the scale of the past three years has been 3 billion yuan, 9.1 billion yuan and 18.1 billion yuan respectively.

As of March 25, 2022, there are 40 Smart Beta ETFs in the Shanghai and Shenzhen markets, with a total size of over 32.8 billion yuan.

Among them, bonus-themed products accounted for 10, with a total scale of 24.2 billion yuan.

　　Author: Huang Siyu