GUANGZHOU, China, Aug. 26,
2024 /PRNewswire/ -- According to International
Energy Agency's forecasts, renewables will surpass coal to
become the largest source of global electricity generation in 2025
and account for over 42% share in 2028, signifying a significant
shift in the global power mix. In China, there has been an accelerating
transformation with renewable power generation capacity has
surpassed coal-fired electricity in the first half of 2024,
capturing 38% of the market share. [1] This rapid
evolution in the new energy sector has created attractive
investment opportunities in area such as clean, renewable
energy and low-carbon transition of thermal power plants and
steel manufacturing.
As China's largest mutual fund
manager, E Fund Management ("E Fund") is dedicated to serving both
domestic and international investors through a range of relevant
ETFs, including CSI New Energy ETF (Code: 516090), E Fund Carbon
Neutral 100 ETF (Code: 562990), and E Fund CNI New Energy Battery
ETF (Code: 159566), the first two are included in mainland
China—Hong Kong ETF Connect.
Among these, CSI New Energy Index primarily focuses on clean and
renewable energy and more than 70% of its constituents involved in
electrical equipment sector. Conversely, SEEE Carbon Neutral Index
differentiates as a more comprehensive index. As of 2023, its
composition was weighted at 67.2% towards companies engaged in
clean, renewable energy and 32.8% in low-carbon transition.
Beyond new energy industry, China is driving a comprehensive green
transformation towards a more sustainable economy and the electric
vehicle industry serves as a prime example. Data from China
Passenger Car Association revealed that in July, retail sales of
new energy passenger car outstripped that of conventional vehicles
with the monthly penetration rate exceeding 50% for the first time.
The CNI New Energy Battery Index is well poised to capture this
trend, particularly focusing on energy storage system (ESS) battery
manufacturing and integration. The only ETF dedicated to this
index, E Fund CNI New Energy Battery ETF, aimed to benefit from the
growth potential of its index constituents, with an expected net
profit growth rate of 22.6% for 2024.
About E Fund
Established in 2001, E Fund Management Co., Ltd. ("E Fund") is a
leading comprehensive mutual fund manager in China with close to RMB
3.3 trillion (US$ 454 billion)
under management.[2] It offers investment solutions to
onshore and offshore clients, helping clients achieve long-term
sustainable investment performances. E Fund's clients include both
individuals and institutions, ranging from central banks, sovereign
wealth funds, social security funds, pension funds, insurance and
reinsurance companies, to corporates and banks. It is a pioneer and
leading practitioner in responsible investments in China and is widely recognized as one of the
most trusted and outstanding Chinese asset managers.
Note:
[1] Data from China Electricity Council
[2] As at Jun 30, 2024. AuM includes
subsidiaries. Source: PBoC, Wind.
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SOURCE E Fund Management