Broad-Based ETFs See Net Outflow of RMB 1.148 Billion; STAR 50 Leads with RMB 4.348 Billion Inflow
Last week, broad-based ETFs showed divergent fund flows across 10 tracked indices. STAR 50-related ETFs led with net inflows of RMB 4.348 billion, followed by ChiNext at RMB 971 million, while CSI A500-related ETFs saw the largest net outflow of RMB 3.264 billion. Total net outflows reached approximately RMB 1.148 billion. As of August 21, the three largest broad-based ETF categories remained CSI 300, CSI A500, and STAR 50, with assets of RMB 271.752 billion, RMB 215.846 billion, and RMB 164.901 billion, respectively.
Last week, fund flows into broad-based ETFs continued to diverge. Among the 10 broad-based indices tracked, ETFs linked to the STAR 50, ChiNext, and SSE 50 recorded net inflows, while the remaining seven indices saw varying degrees of net outflows. Growth-style broad-based ETFs were the primary destination for inflows, with STAR 50-related ETFs posting net inflows of RMB 4.348 billion, the highest among all broad-based indices, and ChiNext-related ETFs adding RMB 971 million. In contrast, CSI A500-related ETFs saw net outflows of RMB 3.264 billion, the largest outflow.
Data showed that ETFs tracking the 10 broad-based indices recorded combined net outflows of approximately RMB 1.148 billion last week, indicating little overall change in assets but pronounced divergence across indices. ETFs linked to the STAR 50 and ChiNext, which had previously seen significant outflows, turned to net inflows, suggesting that capital was not persistently concentrated in a single market-cap style but was being reallocated among large-cap blue chips, tech growth, and small- and mid-cap segments. As of August 21, ETFs tracking the CSI 300, CSI A500, and STAR 50 had assets of RMB 271.752 billion, RMB 215.846 billion, and RMB 164.901 billion, respectively, remaining the core components of the broad-based ETF market.
The most notable shift last week came from growth-style broad-based ETFs, with STAR 50- and ChiNext-related ETFs together attracting net inflows of RMB 5.319 billion, making them the primary recipients of broad-based ETF inflows. The STAR 50 index mainly covers large-cap, highly liquid companies on the STAR Market, with sector concentration in strategic emerging industries such as next-generation information technology, semiconductors, high-end equipment, and biomedicine. Despite a recent pullback in the tech sector, related ETFs saw substantial inflows. ChiNext-related ETFs also recorded net inflows last week; compared with the STAR 50, the ChiNext index offers broader coverage across new energy, healthcare, and electronics.
The medium- to long-term prosperity trend of the technology industry remains unchanged. Since 2026, the tech sector, led by AI, has been a policy priority. The late-July meeting of the Political Bureau of the CPC Central Committee signaled clear support for the development of the technology industry, accelerating the shift from old to new growth drivers and promoting high-quality development. On the hardware front, next-generation AI computing platforms, represented by Nvidia's Vera Rubin series, carry significantly higher per-rack pricing than the previous GB300 generation, with increased value in storage, PCB, and optical interconnect components. September marks the peak period for inventory buildup, and the volume-price logic of the hardware chain remains intact.