SSE Composite

DEFINITION of 'SSE Composite'

A market composite made up of all the A-shares and B-shares that trade on the Shanghai Stock Exchange. The index is calculated by using a base period of 100; the first day of reporting was July 15, 1991.

The composite figure can be calculated by using the formula:

SSE Composite



BREAKING DOWN 'SSE Composite'

The SSE Composite is a good way to get a broad overview of the performance of companies listed on the Shanghai exchange. More selective indexes, such as the SSE 50 Index and SSE 180 Index, show market leaders by market capitalization.

Over time, it is likely that the SSE Composite will closely resemble the overall economy of China; there are still many large, state-run companies that have yet to go public in sectors such as banking, energy and healthcare.

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