Today's Viewpoint: A-share "charm value" continues to rise to attract more international attention

　　peaceful

　　Three years ago, on June 21, A shares were officially included in the FTSE Russell Global Stock Index; now, all three major international indices have included A shares in their index systems.

This reflects the importance and investment value of the A-share market in the global capital market.

　　From the data point of view, foreign institutions have confirmed the attractiveness of the A-share market with practical actions: from 2019 to 2021, my country's stock market introduced a total of 887.4 billion yuan of foreign capital.

Since the beginning of this year, as of June 20, the accumulated net inflow of Beishang funds has been 47.8 billion yuan. Except for the net sales in March, the rest of the months were net purchases.

At the same time, more and more foreign institutions such as hedge funds and sovereign funds have expressed their optimism about the Chinese market, frequently investigating A-share listed companies, and increasing their positions.

　　The data reflects the recognition of the investment value of the A-share market by foreign institutions, and this recognition is also a manifestation of confidence – it comes from the confidence in the attractiveness of the A-share market itself, but also from the confidence in the resilience and vitality of the Chinese economy.

　　The strong resilience and vitality of the Chinese economy is the foundation for the long-term stability of the A-share market.

　　At present, the international economic situation is complicated, and the uncertainty of the international capital market is also increasing.

But the resilience of the Chinese economy has strengthened the confidence of international investors.

　　Judging from the economic "report card" in May, as the effect of domestic growth stabilization policies and measures gradually became apparent, the economic operation in May showed positive changes, and most of the main indicators improved: the added value of industries above designated size increased year-on-year in May. 0.7%, a month-on-month increase of 5.61%, showing the strong resilience of industrial production; in May, the year-on-year decline in retail sales of consumer goods narrowed to 6.7%, and the month-on-month increase from decline to 0.05%, consumption also began to stabilize and rebound.

It can be seen from this that my country's economy continues to recover positively, and the characteristics of great development potential, sufficient resilience and wide space have not changed.

The long-term positive economic fundamentals are the basis for the stable operation of the A-share market, and it is also the confidence of international investors to increase their positions in the Chinese capital market.

　　The continuous reform and opening up of China's capital market continues to enhance the attractiveness index of the A-share market.

　　Promoting reform through opening up and promoting greater opening up through reform is the only way for the high-quality development of the capital market.

In recent years, the capital market has continued to promote the reform of the registration system for stock issuance, further optimized and improved the construction of the basic market system, enhanced the vitality of market entities, and gradually improved the ecological environment.

At present, the number of investors has exceeded 200 million, and the total market value of listed companies ranks second in the world.

　　While deepening reforms, the pace of opening up the capital market to the outside world has been accelerated, the restrictions on foreign shareholding in securities, futures and fund management companies have been fully lifted, the Shanghai-Shenzhen-Hong Kong Stock Connect mechanism has continued to improve, and the opening of the futures market has continued to deepen...

　　Through reform and opening up, not only more vitality has been released for the market, but also more incremental value has been brought to the market, which has further enhanced the charm index of the A-share market.

　　Although the A-share market will still be affected by the international environment in the short term, it is believed that with the strong resilience and vitality of the Chinese economy, as the attractiveness index of the A-share market continues to rise, more international investors will pay attention invest in the Chinese market.

(Securities Daily)