Shanghai Stock Exchange (SHSE) announced that it has entered
into a memorandum of understanding (MOU) with Singapore Exchange
(SGX) to establish a link for exchange-traded funds (ETFs) between
two exchanges. SHSE and SGX are also aiming to jointly develop more
ETF products available to investors on both markets via the
link.
This is not the first time that SGX has collaborated with the
Chinese stock exchange. In 2021, Shenzhen Stock Exchange (SZSE)
entered into a similar MOU with SGX, and three ETFs were
successfully listed under the link between SZSE and SGX in
2022.
According to the data reported by SGX, the daily turnover for
Chinese equities ETFs in the first quarter of 2023 grew more than
50% following the launch of two ETF products via the link between
SZSE and SGX. In light of the successful collaboration with SZSE,
SGX further expanded this model to SHSE and expects to provide
investors from two countries with a wider range of ETF products
through a