CXMT's headquarters is seen in Hefei, Anhui province. GE CHUANHONG/FOR CHINA DAILY
BEIJING — China's leading memory chipmaker, ChangXin Memory Technologies (CXMT), was officially added to the MSCI China All Shares Index on Monday, just two weeks after its blockbuster debut on Shanghai's STAR Market. This marks the latest sign of global investors' growing appetite for Chinese assets, especially in the hard-tech sector.
The inclusion took effect under the MSCI's fast-track rule for large IPOs. The global index provider announced CXMT's eligibility on July 28, one day after its listing, in line with its practice of notifying qualifying large IPOs on the first or second day of trading.
Under the MSCI Global Investable Market Indexes methodology, large IPOs are eligible for early inclusion after 10 trading days if they meet certain size thresholds on full and free-float-adjusted market capitalization, assessed at the close of the first or second trading day. This fast-track treatment waives the usual minimum three-month trading history requirement.
For foreign investors, the index entry matters beyond the passive money it will directly channel. The MSCI China All Shares Index covers A shares, Hong Kong listcos and Chinese companies listed overseas through American Depositary Receipts (ADRs), and is nested in the MSCI Global Standard Index series.
