HKEX Introduces Two Cross‑Market Hard Technology Indices; Five Mainland Fund Subsidiaries In Hong Kong Receive First ETF Authorizations

On April 13, subsidiaries of mainland public fund managers based in Hong Kong collectively secured the initial ETF authorizations for two newly launched cross‑market indices, a development market participants described as uncommon in Hong Kong. That afternoon, HKEX announced the addition of two “60/40” technology indices: the HKEX–KRX Semiconductor Index, which tracks semiconductor companies listed in Hong Kong and Korea, and the HKEX Technology & U.S. Tech 100 Index, which combines Hong Kong‑listed technology names with the 100 largest technology companies listed on Nasdaq.

HKEX explained that these new indices build on earlier benchmarks such as the HKEX Technology 100 Index and the HKEX–Bursa Malaysia Large Cap Index, expanding its index offering with a novel “60/40” cross‑market design in which roughly 60 percent of constituents are Hong Kong‑listed companies eligible for Stock Connect and about 40 percent are overseas‑listed firms. Concurrently, HKEX disclosed that it has signed licensing agreements with Huatai Financial Holdings, Bosera International, E Fund Hong Kong, Dacheng International and GF International. Subject to regulatory approval, these asset managers will launch ETFs in Hong Kong that track the two new indices. Huatai Financial Holdings, Bosera International, Dacheng International and E Fund Hong Kong have each filed for the HKEX–KRX Semiconductor ETF.

The HKEX–KRX Semiconductor Index represents the first co‑branded index between HKEX and KRX, and it follows the performance of Hong Kong‑listed semiconductor companies that meet Stock Connect eligibility alongside all constituents of the KRX Semiconductor 15 Index, thereby offering a cross‑market semiconductor exposure. The HKEX Technology & U.S. Tech 100 Index combines the constituents of the HKEX Technology 100 Index with the 100 largest Nasdaq technology companies, including the major U.S. tech giants, to provide a broader technology allocation spanning Hong Kong and the United States. Both indices maintain the approximate 60/40 split between Hong Kong‑listed and overseas constituents, and the authorized products are intended to facilitate the development of more ETFs eligible for Southbound Stock Connect, thereby broadening cross‑market investment options for mainland investors.

HKEX Group Chief Executive Nicolas Aguzin said the two indices enrich HKEX’s index suite and reflect the exchange’s long‑term commitment to fostering an exchange‑led index ecosystem, supporting product innovation and market development. GF International characterized the “60/40” series as a strategic combination of Hong Kong’s market advantages with growth potential in other major markets, creating attractive cross‑market portfolios and enhancing the ETF product ecosystem.

The mainland fund subsidiaries that received authorization emphasized their respective strategies. Huatai Financial Holdings noted it will leverage Huatai‑PineBridge’s experience in index investment, product innovation and cross‑border business to develop technology‑themed ETFs suitable for Southbound Stock Connect, serving both mainland and Hong Kong investors as well as overseas investors with China‑market allocation needs. Bosera International’s chairman and CEO Lian Shaodong said the new indices expand benchmark choices and open new directions for ETF innovation, while E Fund Hong Kong’s CEO Wang Xue indicated the firm will use the ETFs to capture cross‑border opportunities and reinforce Hong Kong’s role as a financial “super connector.” Dacheng International observed that the indices are designed to reflect market trends and to support a range of investment strategies and risk profiles across global and regional technology themes.

Market observers noted that it is rare for multiple mainland public fund subsidiaries in Hong Kong to obtain ETF authorizations simultaneously. They also pointed out that while broad‑based ETFs such as Hang Seng Index and Hang Seng Tech remain highly contested, asset managers pursue differentiated strategies: some prioritize institutional clients with a focus on Hong Kong equities, high dividend strategies and global allocation, others target retail investors with thematic and momentum products, and a subset emphasize innovation, including exploration of digital‑asset‑linked products.