How the CSI Dividend Index Selects and Weights High-Yield A-Shares

Summary

This analysis describes the CSI Dividend Index and the Bosera CSI Dividend ETF that tracks it. The index selects 100 Shanghai and Shenzhen A-shares with high average after-tax cash dividend yields over the previous two years, then weights constituents by dividend yield. The note frames dividend stocks as potentially defensive and countercyclical, and reports historical performance, valuation, sector and market-cap characteristics using data through March 31, 2020.

The cited analysis reports annualized index returns since its December 2004 base date, comparisons with other indices, and a maximum-drawdown advantage, but the supplied text does not include enough detail to assess calculation choices or risk-adjusted performance. Its valuation and portfolio snapshots are also historical and should not be read as current conditions. The ETF began in March 2020; the note reports its initial scale and combined management and custody fees, while offering no evidence about later tracking quality or realized investor outcomes.

Key ideas

• The CSI Dividend Index selects 100 A-shares based on two-year average after-tax cash dividend yield.
• Constituents are weighted by dividend yield, so higher-yield stocks receive greater weight.
• The note characterizes the strategy as defensive and reports historical return and drawdown comparisons through March 2020.
• It describes the index as relatively low valued at the time, with a diversified sector mix and a tilt toward smaller and mid-sized companies.
• Historical metrics and the ETF details in the note do not establish current valuation or future performance.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.