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Shanghai Composite Index (China)

The Shanghai Composite Index, or SSE Composite, tracks the performance of eligible securities listed on the Shanghai Stock Exchange. It is one of the most widely followed benchmarks for the Shanghai equity market and includes both A-shares and B-shares, along with other eligible securities under the index methodology.

Because the index covers a broad range of Shanghai-listed companies rather than a small group of large stocks, investors can use it to monitor the overall direction of the Shanghai market. MarketBeat's interactive chart shows how the index has moved over time and can help put changes in Chinese equities into historical context.

The Shanghai Composite is not a measure of every publicly traded company in China. Companies listed on exchanges such as Shenzhen, Beijing or Hong Kong fall outside its scope unless separately represented through eligible Shanghai-listed securities.

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Jessica Mitacek
Written by Jessica Mitacek | Reviewed by Shannon Harms

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Frequently Asked Questions

The Shanghai Composite Index measures the performance of eligible securities listed on the Shanghai Stock Exchange. It is designed to provide a broad view of how the Shanghai equity market is performing rather than track only a small group of large companies.

The index is weighted using the total market capitalization of its constituents. Its current value is calculated by comparing the current total market capitalization of eligible constituents with an index divisor and applying the index's base level of 100.

Because larger companies contribute more market value, they generally have more influence on the index than smaller companies.

No. The index is broad, but its methodology includes eligibility rules. Securities under China's ST or *ST risk-warning designations are excluded, and newly listed securities generally must meet waiting-period requirements before entering the index.

A-shares are common shares of mainland Chinese companies that are traded in renminbi. B-shares are also issued by mainland Chinese companies but are traded in foreign currencies.

The Shanghai Composite includes eligible A-shares and B-shares listed on the Shanghai Stock Exchange. Access rules have evolved over time, and eligible overseas investors can also trade certain Shanghai A-shares through programs such as Shanghai-Hong Kong Stock Connect.

No. It covers securities listed on the Shanghai Stock Exchange, not every stock traded in China.

China also has major exchanges in Shenzhen and Beijing, while Hong Kong operates a separate securities market. Investors looking at the Shanghai Composite should therefore treat it as a benchmark for the Shanghai market rather than a complete measure of all Chinese equities.

The Shanghai Composite is a broad-market index that includes a large portion of the eligible Shanghai market. The SSE 50 is much narrower and tracks 50 large, highly liquid and representative securities listed on the Shanghai Stock Exchange.

As a result, the two indexes can move differently when large companies outperform or underperform the broader Shanghai market.

The Shanghai Composite was published for the first time on July 15, 1991. Its base date is Dec. 19, 1990, and its base level is 100.

Those values provide the starting point used in calculating subsequent changes in the index.

No. An index is a calculation rather than a security that investors can buy directly.

Investors seeking exposure to Chinese equities can instead research funds or other securities designed to track a Chinese equity benchmark, but those products may follow indexes that differ materially from the Shanghai Composite in their holdings, weighting and market coverage.

It can provide information about investor sentiment and the performance of Shanghai-listed companies, but it should not be treated as a direct measure of China's entire economy.

The index excludes companies listed exclusively on other exchanges and reflects stock prices rather than economic measures such as gross domestic product, employment or industrial output. Market structure, sector composition and company-specific developments can also cause the index to behave differently from the broader economy.