Hong Kong Exchanges and Clearing Limited (HKEX) is pleased to welcome today (Tuesday) its first listing of a two-time Inverse Product, the CSOP Hang Seng Index Daily (-2x) Inverse Product (stock code: 7500).
An Inverse Product, also known as an Inverse Exchange Traded Fund (ETF), is designed to provide daily investment results of up to 200 per cent of the inverse performance of its underlying benchmark, before fees and expenses. The increase in the leverage multiple on Inverse Products to a maximum of negative two times from negative one time will allow investors to potentially capture higher returns during a market decline.
“The listing of the first two-time Inverse Product on HKEX represents a significant progress in the development of Hong Kong’s Leveraged and Inverse Products market,” said Brian Roberts, Head of Exchange Traded Products (ETPs) at HKEX. “Our emphasis on enriching our product mix aligns with the growth focus in HKEX’s latest Strategic Plan – to develop Hong Kong as the hub for ETPs in Asia.”
Since the first listing of Inverse Products in Hong Kong in June 2016, the market capitalisation of Inverse Products has grown to $5.96 billion as of 27 May 2019, accounting for 1.96 per cent of the total market capitalisation of ETPs listed in Hong Kong. Year to date as of 27 May 2019, the Average Daily Turnover (ADT) of Inverse Products has reached $234 million, accounting for 4.77 per cent of the total ADT of all Hong Kong-listed ETPs.
Further information on Inverse Products is available on HKEX’s ETP web page.
Source: HKEx