Key Takeaways:
Hong Kong Exchanges and Clearing (HKEX) will introduce two technology-focused benchmarks, the HKEX KRX Semiconductor Index and the HKEX Tech & US Tech 100 Index, in a move to broaden its suite of exchange-traded funds (ETFs).
The bourse announced the expansion of its index portfolio, with plans to introduce ETFs based on the two newly-launched indices, subject to regulatory approval. This initiative aims to provide investors with new tools to access opportunities in the technology sector.
The HKEX KRX Semiconductor Index, the first co-branded index between HKEX and the Korea Exchange (KRX), will offer cross-market exposure. It tracks Hong Kong-listed semiconductor firms eligible for Southbound Stock Connect and leading South Korean semiconductor companies from the KRX Semiconductor Top 15 Index. The HKEX Tech & US Tech 100 Index will provide exposure to a basket of technology companies.
The introduction of these indices is set to enhance HKEX's product offerings and could attract new ETF issuers. This may increase investment flows into the Hong Kong and South Korean semiconductor and technology sectors, potentially boosting trading volume for the underlying stocks.
This article is for informational purposes only and does not constitute investment advice.
