The Hong Kong unit of Beijing-based China Asset Management Co says its environmental social and governance-themed exchange-traded fund has been added to the ETF Connect cross-border trading scheme.
The two-year old scheme allows investors in Hong Kong and China to trade ETFs in each other’s markets.
The ChinaAMC HSI ESG ETF is the first ESG-themed fund to be included in the scheme, ChinaAMC (HK) says in a statement recently.
According to the company, this will give investors in the Mainland “an opportunity to engage in ESG-focused investments, benefiting from both a low management fee and a sustainable investment approach”.
The fund is the world’s largest Hong Kong equity ESG ETF and the third largest Hong Kong equity ETF, with a net asset value of over HK$7.4 billion (US$946 million) as of May 8.
China Asset Management Co is the largest ETF provider in China, with more than $266 billion of assets under management as of end-2023.