CSOP Asset Management has listed an exchange-traded fund in Hong Kong that tracks real estate investment trusts in Asia Pacific.
The CSOP FTSE Asia Pacific Select REITs ETF covers a portfolio of 50 property trusts in the region. It’s benchmarked against the FTSE EPRA Nareit Asia Pacific Select REITs Capped Net Tax Index.
According to CSOP, REITs in Asia Pacific have a lower correlation with the US equity market and hence, provide investors with diversification benefits.
“Despite facing rate hikes over recent years, they maintain a healthy balance sheet, manageable debt levels, and stable rental income,” the company says in a statement on May 12, on the eve of the ETF’s listing on the Hong Kong exchange.
CSOP, the Hong Kong unit of China Southern Asset Management, has 31 Hong Kong-listed ETFs and leveraged and inverse products, including the new fund.
