SSE Stock Connect Index optimizes selection criteria: sets turnover and trading value thresholds, with a single constituent's weight capped at 10%.

On November 4, China Securities Index Co., Ltd. published the "Announcement on Revising the Compilation Scheme of the SSE Stock Connect Index." Following research, the Shanghai Stock Exchange and China Securities Index Co., Ltd. have decided to revise the compilation scheme of the SSE Stock Connect Index. The revisions include: (1) The sample space is revised to: "Stock Connect securities published by the Shanghai Stock Exchange and screened according to the following conditions: exclude securities listed for less than 1 year, unless the total market capitalization of the security ranks among the top 10 in the corresponding market or the same company's mainland market securities have been listed for 1 year; exclude securities whose average daily trading value over the past year is less than HK$5 million; calculate the median daily turnover rate for each month as the monthly turnover rate, and exclude securities whose average monthly turnover rate over the past 12 months or the past 3 months is less than 0.1%, unless the average daily trading value of the security over the past year is greater than HK$50 million"; (2) The index calculation rules are revised to: "Adjusted market capitalization = (security price adjusted number of shares weight factor exchange rate). For the calculation methods of the exchange rate and adjusted number of shares, and the divisor correction method, please refer to the Calculation and Maintenance Rules. The weight factor is between 0 and 1, so that the weight of a single sample does not exceed 10%."; (3) The regular adjustment rules are revised to: "Index samples are adjusted once every quarter, and the implementation time of sample adjustments is the next trading day after the second Friday of March, June, September, and December each year. Weight factors are adjusted along with the regular sample adjustments, and the adjustment time is the same as the implementation time of the regular index sample adjustments. Before the next regular adjustment date, weight factors are generally fixed"; (4) The temporary adjustment rules are revised to: "Under special circumstances, temporary adjustments will be made to the index. When a sample is delisted, it will be removed from the index samples. The handling of sample companies in cases such as acquisitions, mergers, and spin-offs shall refer to the Calculation and Maintenance Rules. When changes in the Stock Connect scope cause index samples to no longer meet the Stock Connect eligibility, they will be removed accordingly." To ensure the smooth transition of index samples, the revised temporary adjustment rules of the index compilation scheme will take effect from the date of this announcement, and other rules will take effect from December 14, 2026. During the period, index sample adjustments will only implement the revised temporary adjustment rules; in regular adjustments, securities in the existing sample space and samples that only fail to meet the revised listing time-related rules will be retained. The revised compilation scheme can be found on the Shanghai Stock Exchange website (www.sse.com.cn) and the China Securities Index Co., Ltd. website (www.csindex.com.cn).