Index pullback, funds increase layout efforts, free cash flow ETF E Fund (159222) receives 40 million shares of net subscriptions during trading hours

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On the afternoon of March 13, the market experienced a shakeout and correction. As of 14:30, the China Securities Free Cash Flow Index declined by 0.8%, benignly pulling back to the five-day moving average. Funds continued to increase their positions in related ETFs, with the E Fund Free Cash Flow ETF (159222) expanding its net subscriptions during the day to 40 million units.

On the news front, since March, prices of new materials such as titanium dioxide and organic silicon have continued to rise, boosting industry prosperity and expanding the cycle of new materials. The constituent stocks of the China Securities Free Cash Flow Index focus on sectors like energy, automotive, and industrial materials. Coupled with the strong cyclical weights of non-ferrous metals and chemicals, they are expected to benefit from the expansion dividends of the new materials industry.

According to Wind data, since its listing, the E Fund Free Cash Flow ETF (159222, Connect Fund A/C: 024566/024567) has achieved an excess return of 6.1% over the index, ranking first among ETFs tracking the same index during the same period, with a tracking error of only 0.06%. The product’s management fee is only 0.15% per year, the lowest among ETFs, helping investors low-costly bundle stable cash flows from high-quality companies.

Daily Economic News

(Edited by Liu Chang)

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