OREANDA-NEWS. June 20, 2013. Upon completion of the Hang Seng index series recent periodical review ,the Agricultural Bank of China Limited (ABC) (1288.HK) was added into the Hang Seng High Dividend Yield Index (HSHDYI).

HSHDYI is a specialized index of the Hang Seng index series, and was launched on December 10, 2012 to evaluate the overall performance of stocks with high dividend yield traded at The Stock Exchange of Hong Kong Limited (SEHK). The index includes 50 stocks with the highest net dividend yield and Real Estate Investment Trusts (REITs). Characteristically, most of the stocks are large-cap stocks and mid-cap stocks.

The weight of each constituent stock is computed according to its net dividend yield. Further, the requirement on liquidity for index constituent stocks is no less than 0.1% for share ratio in circulation, and as substantiated by records of at least three consecutive years of cash dividend payment. Moreover, the index defines limits on volatility, with the result that the index will drop the bottom 25% of stocks and REITs with the highest volatility in the past year from this index series . The base date of the index is June 29, 2007, and the base value is 1,000 points, computed every 15 seconds and issued in real-time.

Under the current market climate of a low-interest rate environment with low-level fluctuation, investors generally hope for steady returns, thus rendering stocks with high profit-sharing more attractive. By inclusion into HSHDYI, ABC is recognized by the market and investors for its yields on dividend distribution. As a result, in the near and long-term future, ABC will likely attract more investors looking for steady returns with a commensurate expansion of ABC’s market influence.