On October 28th, the CSI "A-series" characteristic broad-based index officially welcomed a "new member" - the CSI A100 index (hereinafter referred to as "CSI A100"). Thus, the CSI A100, along with the CSI A50 Index and the CSI A500 Index, together form the CSI "A-series" characteristic broad-based index system, and complement the CSI major scale index series represented by the CSI 300 Index and CSI 500 Index, further enriching the market's index types and meeting the needs of different investors. Zheng Lei, Chief Economist of Samoyed Cloud Technology Group, stated in an interview with reporters that broad-based indices usually play a benchmark role in investment portfolios, used to measure the performance of the entire market or specific industries. Investors typically use broad-based indices as investment references to understand overall market trends and risks. For investors, broad-based index investment provides diversified investment options, which can diversify risks and reduce portfolio volatility. Investors should rationally view broad-based index investments as a long-term investment tool and allocate them appropriately based on their risk tolerance and investment goals. The inclusion of CSI A100 in the CSI "A Series" is based on the CSI 100 Index, and the CSI A100 in the CSI "A Series" has been renamed. CSI Index Co., Ltd. recently announced that it has decided to adjust the name and abbreviation of the CSI 100 Index to "CSI A100 Index" and "CSI A100 Index" respectively. It is reported that the CSI 100 Index was released in May 2006 and optimized in June 2022 to better characterize the performance of leading A-share companies and further enhance the index's investability. The optimized index compilation plan integrates elements such as industry balance, ESG, and interconnectivity, and is closer to CSI's "A-series" characteristic broad-based indices such as CSI A50 Index and CSI A500 Index. CSI Index Co., Ltd. stated that in order to better highlight the index positioning and enrich the characteristic broad-based index system, the name of CSI 100 Index has been adjusted to "CSI A100 Index". After the renaming, the index compilation method will not change, and 100 securities of listed companies with large market value, good liquidity, and industry representativeness will still be selected as the index sample. According to Wind Information data, as of the close of October 28, 2024, the total market value of the CSI A100 sample was 22.66 trillion yuan, with a median market value of 127.339 billion yuan. The index has strong industry representativeness and balance, with the latest sample covering about 30% of the free circulation market value of various primary industries in China Securities. The total weight of the industrial, information technology, communication services, and medical and health industries is about 48%. The index sample performs well in terms of fundamentals and ESG practices, with an average return on equity of 11% and a revenue growth rate of 8.8% over the past five years, both higher than the market average. Nearly 70% of the samples have received dividends for more than ten consecutive years, and nearly 80% of the samples have a CSI ESG rating of A or above. At the same time, the names and abbreviations of the CSI 100 related strategy indices, such as CSI 100 Dynamic Index, CSI 100 Stability Index, and CSI 100AH Price Optimization Index, were adjusted to CSI A100 Dynamic Index, CSI A100 Stability Index, and CSI A100AH Price Optimization Index on October 28th. China Securities Index Co., Ltd. stated that the "A-series" characteristic broad-based index system of China Securities has been initially formed, reflecting the performance of representative companies in various industries of A-shares from the perspective of industry balance, and multidimensional characterization of changes in capital market structure and macro industrial transformation, providing a tool for investors to allocate representative companies in A-shares. Next, we will continue to enrich and improve the broad-based index system, promote innovative development of broad-based index investment in China, assist in the construction of the "long-term investment" ecosystem, and serve the high-quality development of the capital market. The popularity of broad-based ETFs brings new challenges. In fact, since the beginning of this year, with the deepening of index based investment concepts and the continuous expansion of ETF market influence, the overall development trend has been maintained, and the number and scale of products have reached a new high. Among them, broad-based ETFs maintain their position as the main source of capital inflows. The white paper on ETF investment and trading recently released by the Shanghai and Shenzhen Stock Exchanges shows that the net inflow of broad-based ETFs in the first half of this year reached 407.597 billion yuan, contributing more than 90% of the overall net inflow of funds in the ETF market. Gao Chengyuan, Chairman and CEO of Tianyuan Marketing Consulting, told reporters that broad-based indices usually cover multiple industries and can better reflect the overall market trend. For investors, investing in broad-based indices is a prudent choice that can serve as both a long-term investment tool and a "safe haven" during market fluctuations. Under the enthusiastic pursuit of investors, the development of broad-based ETFs has also put forward higher requirements for all parties in the market. In Gao Chengyuan's view, for ordinary investors, when choosing a broad-based index investment, they need to consider factors such as the historical performance of the index, the composition of its constituent stocks, tracking errors, and management fees. Firstly, the historical performance of an index can reflect the stability and reliability of its long-term returns. Secondly, the composition of constituent stocks determines the industry distribution and risk appetite of the index, and investors need to choose based on their investment goals and risk tolerance. Furthermore, tracking error is an important indicator for measuring the difference between the performance of index funds and the performance of the index itself, and investors should choose funds with smaller tracking errors. Finally, management fees are also one of the factors that investors need to consider, as low fees mean higher investment returns. In addition, Zheng Lei added that financial institutions need to strengthen their research and analysis of the market, launch broad-based ETF products that better meet investors' needs, and provide more professional and efficient investment consulting and trading services. Regulatory agencies should strengthen their supervision of the broad-based ETF market to ensure fairness, impartiality, and transparency, and prevent potential risks. At the same time, relevant laws and regulations should be improved to create a favorable institutional environment for the healthy development of broad-based ETFs. (New Society)