Happy anniversary to ETFs!
It was 20 years ago to this day -- 12 November 1999 – when we welcomed the listing of the very first ETF in Hong Kong. That ETF, the Tracker Fund of Hong Kong (2800), blazed a trail for the many ETFs to follow and remains one of the most traded ETFs in Hong Kong.
The ETF market has grown substantially since that first listing 20 years ago, with a total ETF market capitalisation in Hong Kong of over HK$300 billion and average turnover of HK$5 billion each day.
We now have 140 ETFs listed on HKEX, making up about 8 per cent of total daily turnover. They’ve become an integral part of the Hong Kong financial market and a popular tool for investors looking for exposure to different segments of the economy.
In addition to ETFs, the listing of other innovative exchange-traded products has also grown rapidly in recent years. We have seen the listing of the first dual counter ETF in 2012, the first Leveraged and Inverse Products in 2016, the first Active ETFs in 2019 and many more along the way.
November 1999 – Asia's first ETF (ex-Japan)
November 2004 – World's first A-share ETF
October 2007 – HKEX ETF market capitalisation amassed $100 billion
July 2008 – Hong Kong's first commodity ETF
July 2010 – HKEX ETF market capitalisation amassed $200 billion
July 2012 – World's first physical (RQFII) A-share ETF
October 2012 – Hong Kong's first dual counter ETF
January 2013 – HKEX ETF market capitalisation amassed $300 billion
February 2015 – Introduction of ETF secondary market stamp duty exemption
February 2015 – Hong Kong's first futures-based ETF
June 2016 – Hong Kong's first Leveraged and Inverse Products
March 2017 – HSI/HSCEI Leveraged and Inverse Products
May 2019 – Hong Kong's first Leveraged Inverse (-2x) Products
June 2019 – Hong Kong's first active ETF
July 2019 – Introduction of ETF market maker buy-in exemption
November 2019 – Celebrating 20 years of leadership & innovation in the Asian time zone
While we take a moment to reflect and celebrate this milestone today, we remain focused on the future and our ambition to be Asia’s leading ETF issuance and trading hub. A big thank you to all issuers and partners who have contributed to the growth of the ETF market in Hong Kong!