Core Viewpoint - The launch of the Huabao CSI A500 Dividend Low Volatility ETF (A500 Dividend Low Vol ETF) marks a significant development in the A-share market, which is experiencing a strong recovery, with the CSI A500 index being referred to as the "hottest index" for 2024 [1][3][4]. Group 1: Product Overview - The A500 Dividend Low Vol ETF is the first ETF in the market to track the CSI A500 Dividend Low Volatility Index, which selects 50 securities from the CSI A500 index based on high dividend yield and low volatility [1][5][4]. - The index aims to enhance risk-return levels by combining high dividend and low volatility factors, potentially achieving a "1+1>2" Smart Beta effect [4][6]. Group 2: Performance Metrics - The CSI A500 Dividend Low Volatility Index boasts a trailing twelve months (TTM) dividend yield of 4.17% and a TTM payout ratio of 30.97%, outperforming similar indices [6]. - Since its base date of December 31, 2013, the index has seen a cumulative increase of 393.12% with an annualized return of 15.21%, significantly exceeding the performance of the CSI Dividend Index and the CSI A500 Index [11]. Group 3: Market Position and Strategy - The A500 Dividend Low Vol ETF is a strategic addition to Huabao Fund's product line, which has recently surpassed 100 billion yuan in total assets under management for equity ETFs, solidifying its position in the market [14]. - The ETF includes a quarterly dividend assessment mechanism, enhancing investor engagement and aligning with the current bullish sentiment in the A-share market [14].

Core Insights - The "CSI A500 Index" is gaining popularity as the "hottest index" for 2024, with the launch of the Pro version, the "CSI A500 Dividend Low Volatility Index" [1][2] - The newly launched "CSI A500 Dividend Low Volatility ETF" (code: 159296) is the first ETF in the market to track this index, which selects 50 securities with high dividends and low volatility from the CSI A500 Index [1][2] Group 1: Index Characteristics - The CSI A500 Dividend Low Volatility Index features a TTM dividend yield of 4.17% and a TTM dividend rate of 30.97%, outperforming similar indices like the CSI 300 Dividend Low Volatility Index [3] - This index aims to mitigate valuation traps and enhance risk-return profiles through its dual focus on high dividends and low volatility, potentially achieving a "1+1>2" Smart Beta effect [2][3] Group 2: Performance Metrics - Since its base date (December 31, 2013), the CSI A500 Dividend Low Volatility Index has seen a cumulative increase of 393.12% and an annualized return of 15.21%, significantly outperforming the CSI Dividend Index and the CSI A500 Index [7][10] - The index has demonstrated lower volatility and maximum drawdown compared to other indices, making it a more stable investment option [3][10] Group 3: Market Position and Strategy - The launch of the A500 Dividend Low Volatility ETF (159296) marks a strategic move for Huabao Fund, which has recently crossed the 100 billion yuan threshold in equity ETF assets, solidifying its position in the market [9] - The ETF includes a regular dividend assessment mechanism, enhancing investor engagement and aligning with the current bullish sentiment in the A-share market [9]