Hong Kong’s exchange-traded product (ETP) market capitalisation fell after Hang Seng Index ETF was delisted when Hang Seng Investment Management took over management of the Tracker Fund from US asset manager State Street Global Advisors.
The local firm was required to delist its exchange-traded fund and convert part of its shares into mutual funds as part of the change of management of the Tracker Fund, Hong Kong’s largest ETF.
The delisting occurred in September, six months after the firm took over running of the Tracker Fund.
Last month, Hong Kong’s ETP market capitalisation declined 8.78% to HK$374 billion (US$47.9 billion) from HK$410 billion in November 2021, according to figures compiled by the Hong Kong Exchanges and Clearing for Asia Asset Management.
“The deduction was caused by the delisting of Hang Seng Index ETF,” the bourse says.
There were 168 listed Hong Kong domiciled ETPs, comprising ETFs and inverse and leveraged products, in November 2022, up 14.28% from 147 a year ago.
The Tracker Fund was the best performing ETP, with net inflows of HK$49.19 billion in the 11 months to November.
The runners-up were CSOP Hang Seng TECH Index ETF with HK$9.2 billion of net inflows, and iShares Core MSCI AC Asia ex Japan Index ETF with HK$7.27 billion.
Meanwhile, 30 new ETPs were listed in 2022 as of December 23, compared to 33 in all of 2021, 22 in 2020 and 11 in 2019.
