SCMP: Hong Kong-listed ETFs expected to benefit from Greater Bay room growth, upcoming connect program

Exchange-traded funds in Hong-Kong are required to see powerful increases as a result of the developing potential from the better Bay location, growing interest among investors and a unique cross-border trading plan in the works for ETFs, relating to field users.

Seoul-headquartered Mirae advantage worldwide expenditures, the biggest ETF issuer in Asia leaving out Japan by international assets based on investigation firm ETFGI, is those types of wanting chances to occur in Hong-Kong.

The business will broaden their Hong Kong-listed ETF range the following year with brand new resource sessions and financial tricks, said Rhee Jung-ho, president and ceo of Mirae resource worldwide assets (Hong-Kong).

“We have observed most international people who will be contemplating the more Bay room and the fast advancing, innovation-driven businesses of mainland China,” Rhee said in an interview aided by the South China day article. “Investors make use of ETFs as a convenient vehicle to invest in mainland Asia, and Hong Kong is a great venue to develop the products because of its unique place due to the fact global gateway to China.”

Over 143 ETFs is listed on the Hong-Kong stock-exchange and have now an industry limit of approximately HK$400 billion (US$51. 4 billion). The average everyday return of ETFs in the 1st nine months of 2021 ended up being HK$6.7 billion, 31 % more than a year earlier in the day, based on change facts.

Mirae’s top-performing ETF previously a couple of years was an ETF that keeps track of electric car and battery-related stocks in Asia.

“Overall, our very own ETFs that track inventory in themes for example clean fuel and semiconductors including our environment, social and governance (ESG)-related items are anticipated to do well from inside the following decades,” Rhee said.