HSBC lists China A-share ETF in London

London-stock-exchangeHSBC has launched an exchange-traded fund (ETF) investing in mainland-listed Chinese equities, otherwise known as A-shares, on the London Stock Exchange. Other European listings are planned for the HSBC MSCI China A Inclusion Ucits ETF, which was designed to meet investors' needs in light of the addition, by index compiler MSCI, of A-shares to a widely followed emerging market index. “As the ETF is designed to track the progressive partial inclusion of China A-shares in the MSCI Emerging Markets Index over time, we believe it provides an excellent building block for investors to future-proof their portfolio using one single share,” said Joseph Molloy, head of index and systematic equity portfolio management, HSBC Global Asset Management. The physically replicated ETF will track the performance of shares that are accessible through the Stock Connect scheme, which allows foreigners to buy equities listed in Shanghai or Shenzhen via Hong Kong. On June 1, MSCI added A-shares to the Emerging Markets index with a 2.5% weighting, which will increase to 5% in September. ©2018 funds global asia

Executive Interviews

INTERVIEW: Operational challenges

Jun 09, 2018

Caroline Higgins of Northern Trust tells George Mitton about A-share inclusion, ETF Connect and why Cayman funds predominate in the region.

INTERVIEW: Making a name

Apr 18, 2018

Formed by a merger in 2012, Old Mutual Global Investors was little-known in Asia. Carol Wong, managing director for Asia-Pacific, is changing that. She talks to George Mitton.


SINGAPORE ROUNDTABLE: Optimism versus caution

Oct 23, 2018

The impact of financial technology, developments in Asian passporting and the promise of new markets in Thailand were among the topics discussed by our panel. Chaired by George Mitton in Singapore.

HONG KONG ROUNDTABLE: a long-term project

Jun 09, 2018

Our panel discussed robo-advisers, ETF Connect, and why the mutual recognition of funds (MRF) scheme will take time to develop. Chaired by George Mitton in Hong Kong.