Scientific Beta

Funds Global Asia: "A major provider of smart beta investment tools says Chinese mainland-listed A-shares are not accessible enough to join its indices. Unlike index providers such as MSCI and FTSE Russell, which have said they will add A-shares to their emerging market indices, Scientific Beta, an initiative of the EDHEC-Risk Institute, has concluded that accessibility constraints still "penalise" its global clients."

Funds Global Asia 09/10/2018

"(...) A major provider of smart beta investment tools says Chinese mainland-listed A-shares are not accessible enough to join its indices. Unlike index providers such as MSCI and FTSE Russell, which have said they will add A-shares to their emerging market indices, Scientific Beta, an initiative of the EDHEC-Risk Institute, has concluded that accessibility constraints still "penalise" its global clients. In a statement, Scientific Beta said it was concerned by the need for derivative products based on A-shares to be pre-approved, by the large number of suspensions affecting A-shares as compared with other emerging markets, and by the daily limit on the Stock Connect scheme. Stock Connect is one of the main ways international investors can buy and sell A-shares. The index provider also noted that the market for securities lending and borrowing in China is limited. (...)"