These indices are jointly developed by the China Securities Index Co., Ltd. and Guoxin Investment Co., Ltd. under the guidance of the Shanghai Stock Exchange (SSE), and together with the CSI China Reform Central State-Owned Enterprises Composite Index ("China Reform Central SOEs") released earlier, form the “1+N” series of central SOE indices. In September this year, the Shanghai Stock Exchange and China Reform Holdings Co., Ltd. signed a strategic cooperation agreement to launch platform-level cooperation to help listed central SOEs achieve high-quality development. The release of the three central SOE-themed indices is another important result of the cooperation between the two sides, which reflects the characteristics and changing trends of representative central SOEs from multiple dimensions, further consolidates the market consensus on attention to and investing in central SOEs, make better use of the factor allocation function of the capital market, and accelerate the high-quality development of central SOEs.

The central SOEs in the real economy industries under SASAC are the national team and the main force in the fields of high-end manufacturing, aerospace, infrastructure and transportation, and electronic information communication, etc. They are also the backbone of building a modern industrial system, play an increasingly important role in promoting the development of strategic scientific and technological innovation and the construction of a modern energy system. The CSI China Reform Central State-Owned Enterprises index series is compiled based on the principles of professionalism and investability, and explores the value of central SOEs through in-depth policy research, market research and company research. The three indices reflect the investment value of central SOEs from various dimensions and form differentiated positioning to meet the investment needs for diversified asset allocation. The Central SOE Technology Leading Index focuses on sectors where central SOEs have strong advantages and high market attention, with 50 listed central SOEs of high R&D investment and strong growth ability selected from the aerospace, computer, electronics, and semiconductor and communication equipment industries. Most of the selected components are leaders in their field, reflecting the supporting and leading role of central SOEs in the new system of mobilizing the resources nationwide to achieve breakthroughs in core technologies in key fields. Taking into account the dual goals of energy security and energy transition, the Central SOE Modern Energy Index selects large-cap central SOEs with high carbon neutrality scores in three major modern energy sectors, including green energy, fossil energy and energy transmission and distribution as the index sample, reflecting the overall performance of representative central SOEs in the modern energy industry. The Central SOE Shareholder Return Index comprehensively considers dividends and stock repurchases, and integrates high-quality and stable assets of central SOEs. It is the first high-dividend strategy index in the whole market to consider both dividends and repurchases, which selects 50 listed central SOEs with high cash-dividend or repurchase-ratio and a certain scale and liquidity as the index sample, reflecting the overall performance of representative central SOEs with high dividend features.

The more than 360 A-share listed central SOEs under SASAC are mainly in the real economy industries related to the national economy and people's livelihood, such as energy, chemical industry, and electronic communication, etc. They are mostly leading companies with large market cap in various industries, accounting for 18% of the total market cap. Since 2021, the China Reform Central SOEs Index (932004.CSI), which represents the overall central SOEs, has accumulated an excess return rate of 28.7 percentage points, gradually becoming a cornerstone for maintaining market stability.

In order to implement the spirit of the 20th National Congress of the Communist Party of China, following the Work Plan for Improving the Quality of Listed Companies Controlled by Central SOEs issued by SASAC in May 2022, and under the guidance of the CSRC, the SSE will further develop the CSI China Reform Central State-Owned Enterprises index series together with the China Securities Index Co., Ltd. and Guoxin Investment Co., Ltd. This will help the capital market to serve central SOEs from multiple dimensions such as technology and energy industries, strengthen the returns for shareholders, help investors know and understand central SOEs, and support central SOEs to become stronger, better and bigger by making use of the capital market. In the future, the SSE will continue to strengthen cooperation with China Reform Holdings Corporation Ltd., track the reform and development of central SOEs, take a forward-looking position, launch more central SOE-themed indices that are in line with national strategies, the characteristics of central SOEs and the development trend of the capital market, continuously improve the central SOE index system to enhance market influence and appeal, and effectively promote the high-quality development of listed central SOEs.