The report card of the domestic ETF market in 2023 is out!
On the evening of February 2, the ETF industry development report (2024) compiled by the Shanghai Stock Exchange and a number of ** companies was officially released. According to the report, by the end of 2023, the total size of ETFs listed on domestic exchanges reached 205 trillion yuan, a record high, a year-on-year increase of 2813%。In 2023, the net inflow of funds in the domestic ETF market will reach 50093.6 billion yuan, a year-on-year increase of 7111%。
Looking ahead to 2024, the report believes that as the results of the new round of capital market reform and opening up continue to be highlighted, the domestic ETF market is in a period of rare development opportunities. The main development trends of the ETF industry in 2024 include the continuous development of broad-based ETFs, the rapid development of industry-themed ETFs, the continuous enrichment of bond ETF varieties, and the further optimization of the mechanism.
The scale of domestic ETFs exceeded 2 trillion yuan for the first time.
2023 is a year of vigorous development of global indexed investment, and looking back at the domestic market, indexed investment has also become the development trend of the domestic public offering industry.
By the end of 2023, the number of ETFs listed on domestic exchanges reached 889, an increase of 18 from the end of 2022 (753).06%, and the total market value at the end of the year reached 205 trillion yuan, a record high, compared with the end of 2022 (16 billion yuan) increased by 2813%。Among them, the market value of equity ETFs reached 173 trillion yuan, a record high, accounting for about 2% of the total market value of A-shares.
*: SSE report.
It is worth mentioning that in 2023, 4508Of the 8.2 billion yuan, new products contributed 778The scale increase of 9.6 billion yuan, accounting for 1728%, and the scale of stock products has reached 37298.6 billion yuan, accounting for 8272%。In terms of new products, 161 new products will be listed in the domestic ETF market in 2023, with a total issuance size of 1,1840.4 billion yuan. Among them, 131 are ** ETFs, accounting for 8167%。
At a time when the index is developing rapidly, the trend of passive investment has emerged, and the net inflow of funds in the domestic ETF market will hit a record high in 2023.
*: SSE report.
According to the report, although there have been some fluctuations in A-shares since the beginning of the year, the domestic ETF market continues to show a net inflow of funds, with a net inflow of 5,009 in 20233.6 billion yuan, compared with 2022 (2927.).5.8 billion yuan) increased by 7111%, giving full play to the role of stabilizing the market. In terms of types, **ETF had the highest net inflow, reaching 44854.1 billion yuan. In addition, the net inflow of cross-border ETFs was 9261.4 billion yuan, bond ETF net inflow of 2384.5 billion yuan, and the net inflow of commodity ETFs was 507.6 billion yuan, and the net outflow of currency ETFs was 6914 billion yuan.
Shanghai ETFs ranked first in Asia in terms of trading volume last year.
*The market is one of the most important markets on the Shanghai Stock Exchange. According to the report, by the end of 2023, a total of 539 ETFs were listed on the Shanghai Stock Exchange, with a total scale of 1,556.8 billion yuan, an increase of 2526%；The annual turnover in 2023 is 2165 trillion yuan, a year-on-year increase of 1584%, the Shanghai ETF turnover and scale ranked first in Asia.
I. Second. 
*: SSE report.
One city across the world is one of the market positioning and development strategies of the SSE ETF** market. The so-called cross-market cross-global means that investors can invest in the global market more conveniently through cross-border products such as ETFs. In terms of cross-border ETF products, the Shanghai Stock Exchange has launched the first batch of Shanghai-Singapore ETF Connect products, and as of the end of 2023, the scale of the Huatai Pineapple CSOP SGX Pan-Southeast Asia Technology ETF listed on the Shanghai Stock Exchange is 6800 million yuan, providing investors with a choice for the allocation of technology-focused Southeast Asian listed companies.
In addition, as of the end of 2023, a total of 76 ETFs have been included in the Shanghai-Hong Kong Stock Connect, with a total scale of 901.3 billion yuan, and the product types include both broad-based ETFs and industry-themed ETFs.
At the same time, participation in the Shanghai ETF market also maintained steady growth, with 6.69 million accounts held at the end of the year, a year-on-year increase of 1005%, with an average annual growth rate of 36 in the past five years13%；The number of trading accounts for the year was 8.62 million. From the perspective of investor structure, institutional investors hold more than 60%, and individual investors hold an increase in the proportion.
Top 10 trends in the ETF industry in 2024.
Looking forward to 2024, as the results of the new round of capital market reform and opening up continue to be highlighted, the domestic ETF market is in a period of rare development opportunities. According to the report, the main development trends of the ETF industry in 2024 include:
First, there is a broad space for the development of indexed investment, and the ETF market is in a period of development opportunities;
second, the sustainable development of broad-based ETFs;
Third, the rapid development of industry-themed ETFs to serve the national strategic layout;
Fourth, the variety of bond ETFs continued to be enriched, and the mechanism was further optimized;
Fifth, vigorously promote product innovation, and continue to improve the ETF product chain;
Sixth, study and promote the normalization of collective subscription business and improve the ETF supporting mechanism;
Seventh, study and broaden the business functions of the platform;
Eighth, broaden the interconnection of ETFs and actively open up the global market;
Nine is to enrich the variety of ETF options and improve risk management tools;
Tenth, we will continue to increase the promotion of ETFs and introduce more medium and long-term capital participation.
At the same time, the Shanghai Stock Exchange said that in 2024, it will closely focus on economic restructuring and industrial transformation and upgrading, take multiple measures to enrich the ETF product structure, continue to optimize the ETF investment ecological environment, promote the continuous opening of the capital market, and create a broader development space for indexed investment.
Specifically, in terms of products, we will first focus on promoting broad-based ETF products to become bigger, stronger and better, and at the same time study and launch more broad-based ETF products such as CSI A50. Second, we will continue to focus on promoting the innovative development of industry-based thematic equity ETFs. At the same time, we will increase product innovation, improve ETF layout and product chain, and promote the development of innovative products. Finally, on the basis of SSE 50 ETF options, CSI 300 ETF options, CSI 500 ETF options and STAR 50 ETF options, we will study and launch more ETF options.
In terms of mechanism, in 2024, the Shanghai Stock Exchange will continue to study and promote the normalization of ETF collective subscription business, so as to attract more medium and long-term funds to enter the market through investment ETFs. In addition, we will continue to optimize the market maker mechanism by optimizing the market-making evaluation and streamlining the business handling process, so as to further enhance the enthusiasm of securities companies to participate in the market-making business. Continue to research and expand **Tong 20 platform business functions, promote the opening of investor functions, expand the scope of platform transfer targets, facilitate the company's direct sales, third-party sales agencies, Internet and other channel investors to participate in the public offering of REITs and other listed transfers, and help the development of pension, investment consulting and other businesses. It will also promote the steady expansion of Shanghai-listed ETFs in the Stock Connect, and continue to learn from the experience of China-Japan, Shanghai-Hong Kong, and Shanghai-Singapore ETFs to explore innovative and overseas cooperation models.
In terms of ecology, in 2024, the Shanghai Stock Exchange will deepen the reform of the investment side, further strengthen its services for institutional investors, focus on key issues, create an environment conducive to institutional investors' entry into the market, and guide more medium and long-term funds to enter the market. At the same time, we will further enhance the promotion of ETFs, strengthen the construction of ETF industry analysts, enrich the forms of promotion activities, continuously expand the scope of training partners and investor coverage, and encourage more individual and institutional investors to participate in ETF investment.
*: China ** Daily.
Editor: Xiaoya.