China gives nod for 9 more ETFs to invest in HK tech shares – Caixin



© Reuters.

SHANGHAI (Reuters) – China’s securities regulator has approved a fresh batch of nine exchange-traded funds (ETFs) that target technology shares listed in Hong Kong, financial media Caixin reported on Tuesday, potentially benefiting the battered sector.

The move followed China’s approval earlier this month for domestic fund managers’ first ETFs based on Hong Kong’s Hang Seng TECH Index, giving Chinese investors increased access to such big-name stocks as Alibaba (NYSE:) and Tencent (HK:).

The newly approved products were based on indices covering three categories, including CSI Hong Kong Connect Technology Index, the Hang Seng SCHK China Technology Index, and CSI Hong Kong Technology Index, according to the report.

Individual stocks have slightly different weightings in each index, but they largely overlap with the constituent stocks of the Hang Seng Technology Index, which represents the 30 largest technology companies listed in the financial hub.

Technology stocks in Hong Kong have fallen this year on regulatory challenges from mainland China and worries over Sino-U.S. relations, while concerns on inflationary pressure from overseas also weighed.

The Hang Seng Tech Index has lost 7.7% so far this year, while the benchmark has gained 4.8% during the same period.

Graphic: Hong Kong tech stocks: https://fingfx.thomsonreuters.com/gfx/mkt/dgkvloqjnpb/image-1621311236323.png

The China Securities Regulatory Commission (CSRC) did not immediately respond to an emailed request for comment.

Caixin added that the new products were launched by nine mutual fund managers including Penghua Fund, Invesco Great Wall, Guotai Asset Management, Huatai-Pinebridge Fund Management, HFT Investment Management, China Merchants Fund Management, Southern (NYSE:) Asset Management, Ping An Fund and Yinhua Fund Management.

READ  Saving for retirement? Here are two income shares I’d buy for an ISA
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





READ SOURCE

LEAVE A REPLY

Please enter your comment!
Please enter your name here