China Exchanges Overhaul Major Indices to Favor AI and Chip Stocks

China’s major stock exchanges are overhauling their benchmark indices to add domestic artificial intelligence and semiconductor companies while phasing out traditional consumer electronics manufacturers.

The semi-annual rebalancing, effective June 15, impacts more than a dozen key gauges including the CSI 300, SSE 50, and STAR 50. Passive funds are already injecting hundreds of millions of dollars into newly selected computing and memory chip stocks during the two-week trading window before the changes take effect.