SSE STAR Market Composite Index to be Released, Representing the Overall Performance of STAR Market

Today, the Shanghai Stock Exchange (SSE) and China Securities Index Co., Ltd. (China Securities Index) announced that they will officially release the SSE STAR Market Composite Index (hereinafter referred to as the "STAR Market Composite Index") and its price index, the SSE STAR Market Composite Price Index (hereinafter referred to as the "STAR Price") on January 20. The STAR Market Composite Index selects all eligible listed company securities from the STAR Market as index samples to reflect the overall performance of the STAR Market.

Since the launch of the STAR Market in July 2019, it has shown overall operations, fully utilizing its role as a testing ground for changes and continuously establishing itself as the main platform for fostering new quality productive forces. As of the end of 2024, the number of companies listed on the STAR Market reached 581, with a total market capitalization exceeding 6.34 trillion yuan. As the number of listed companies steadily increases, investors have a growing demand for indices representing the overall performance of companies listed on the STAR Market. In this context, SSE and China Securities Index have developed and launched the STAR Market Composite Index to provide more diverse and comprehensive representation tools for the STAR Market. The STAR Market Composite Index is an important core index of the STAR Market, with different focuses and complementing the STAR 50 Index, representing the operation of the STAR Market from different perspectives. From the perspective of index positioning, the STAR Market Composite Index is positioned as a comprehensive index, covering nearly 97% of market capitalization. It mainly serves the function of representing the overall performance of the STAR Market, while also having a certain investment function. On the other hand, the STAR 50 Index is positioned as a constituent index, selecting representative securities from the STAR Market with a market capitalization coverage of 45%, primarily serving an investment function. From the perspective of market capitalization distribution, the STAR Market Composite Index includes large-cap, mid-cap, and small-cap securities, with an average market capitalization of 11.3 billion yuan and a median of 5.1 billion yuan, which is generally consistent with the overall STAR Market. In contrast, the STAR 50 Index mainly comprises large-cap securities from the STAR Market, with an average market capitalization of 67.4 billion yuan and a median of 37 billion yuan. From the perspective of industry distribution, the STAR Market Composite Index has a relatively balanced industry distribution, with industries such as semiconductors, electrical equipment, machinery manufacturing, and pharmaceuticals having a higher quantity and weight proportion, with semiconductors accounting for 38% of the weight. In contrast, the STAR 50 Index has a more focused industry distribution, with semiconductors making up 62% of the weight. In recent years, SSE and China Securities Index have continuously focused on implementing strategic initiatives like achieving greater self-reliance and strength in science and technology. The STAR Market index system has become increasingly refined, and the investment toolbox has been consistently enriched. Up to now, 26 STAR Market indices have been released, creating an index system for the STAR Market that covers various types such as scale, theme, and strategy. The related products both domestically and internationally have a tracking scale of approximately 250 billion yuan, effectively guiding capital to support the development of hard technology and enhancing the capital market's service level in improving China's innovation capabilities in key core technologies. The launch of this STAR Market Composite Index will further enhance and complete the STAR Market index system, enrich the diversity of the broad-based index system, and improve the influence and competitiveness of local indices. It will play an important role in attracting incremental funds into the market and supporting key core technological innovations.