Lenovo Added to Hang Seng Index From March 4; Chalco RemovedCathy Chan
Lenovo Group Ltd., the world’s second-biggest maker of personal computers, will be added to Hong Kong’s benchmark Hang Seng Index effective March 4, compiler Hang Seng Indexes Co. said.
Aluminum Corp. of China Ltd., the nation's biggest producer of the metal, will be removed from the index, according to a statement yesterday. The total number of index members will remain at 50.
The changes may affect the share-price movements of the added or removed companies, as Hang Seng Index-tracking funds such as the Hang Seng Index Exchange-Traded Fund, with a total asset value of HK$36.4 billion ($4.7 billion) as of February, adjust their holdings.
The Hang Seng Index has jumped 9.9 percent to 23,256.93 since its last quarterly review on Nov. 16, when the addition of Kunlun Energy Co. was announced.
Hang Seng Indexes announced the changes after Hong Kong’s stock market closed yesterday. Lenovo, second to Hewlett-Packard Co. in global PC market share, gained 4.7 percent to close at HK$8.73, bringing its 12-month increase to 37 percent, compared with a 12 percent rise in the benchmark.
Aluminum Corp., also called Chalco, was unchanged at HK$3.63 in Hong Kong trading yesterday. Its H shares have dropped 7.4 percent in the past 12 months.
Haitong Securities Co. will be added to the Hang Seng China Enterprises Index of Chinese companies’ so-called H shares, as ZTE Corp. is removed, Hang Seng Indexes said.