Guotai Junan International Holdings Limited
Guotai Junan International included as a constituent of the Hang Seng SCHK High Dividend Low Volatility Index

To: Business Editor For immediate release
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(Incorporated in Hong Kong with limited liability)

Guotai Junan International included as a constituent of the Hang Seng SCHK High Dividend Low Volatility Index

[28 August 2018, Hong Kong] Guotai Junan International Holdings Limited (“Guotai Junan International” or the “Company“, Stock code: 1788.HK) is pleased to announce that, with effect from 10^th September 2018, the Company will be included as a constituent of the Hang Seng SCHK High Dividend Low Volatility Index (“HSHYLV“), along with other large listed companies such as China CITIC Bank Corporation Ltd. H-Shares, Yuexiu Property Co. Ltd. and PCCW Ltd.. Such inclusion has delivered the recognition and praise of the capital market on the achievement and steady growth of Guotai Junan International, illustrated the Company’s reputation in the investment industry and the capital market and showcased the Company’s strength as a leading Chinese financial service institution.

The HSHYLV tracks the performance of the top 50 Hong Kong-listed stocks with high dividend yield and low volatility that are available to investors in mainland China via the southbound trading link of the Stock Connect Scheme. There is an increasing demand from Mainland investors for investment opportunities that offer a relatively stable return with less price volatility, this index aims to provide a reference benchmark for such investment objectives. The selection criteria includes the eligibility for trading via the southbound trading link of the Stock Connect Scheme, a minimum velocity of 0.1%, a minimum average daily turnover of HKD20 million, a cash dividend payment record of at least three consecutive fiscal years and a positive dividend payout ratio not higher than 100%, etc. At present, the constituents of the index include large-scale blue-chip corporations such as China Mobile, BOC Hong Kong and Hang Seng Bank.

Since its listing in Hong Kong in 2010, Guotai Junan International has witnessed a steady growth on all its businesses. For the last five years, the Company has realized a CAGR of 32%, with its dividend payment ratio remaining over 50% and ROE reaching 15% at the end of 2017, making the Company a signature of “high growth, high dividend payout, and high sustainability” in the Hong Kong stock market. Guotai Junan International has established a diversified business structure to provide high quality financial services and tailored financial products to investors across the world with its professional business capacity and solid reputation, aiming to realize steady and healthy growth despite market fluctuations.

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About Guotai Junan International Holdings Limited

Guotai Junan International is the market leader and first mover for internationalization of Chinese securities company. The Company is the first Chinese securities broker to list on the Main Board of The Hong Kong Stock Exchange by way of initial public offering. Based in Hong Kong, the Company provides diversified integrated financial services. The five core services include: (i) brokerage, (ii) corporate finance, (iii) loans and financing, (iv) asset management, (v) financial products, market making and investments.

The Company is one of the constituents of HSCI, Hang Seng Composite LargeCap & MidCap Index, FTSE HK index and FTSE HK ex H share index. Guotai Junan International has been assigned “Baa2 / Prime-2” and “BBB+ / A-2” rating from Moody’s Investor Service and Standard & Poor’s Global Ratings respectively.

Our controlling shareholder, Guotai Junan Securities Company Limited (“Guotai Junan”, Stock Code: 601211.SH; 2611.HK), is the comprehensive financial provider with a long-term, sustainable and overall leading position in the Chinese securities industry. Backed by strong operational support, the Company will be able to further explore the HK and the Asia-Pacific market.

For more information about Guotai Junan International: http://www.gtjai.com.