Tracker Fund: Celebrating 25 Years While Hong Kong Emerges as Asia’s ETF Hub
Tracker Fund: A Symbol of Growth in Hong Kong’s ETF Market
The Tracker Fund, Hong Kong's largest exchange-traded fund (ETF) with HK$149.9 billion (US$19.3 billion) in assets, celebrates 25 years since its inception. Established on November 11, 1999, by the Hong Kong Monetary Authority (HKMA), the fund was created to stabilize the market following the Asian financial crisis in 1998.
Aspirations for ETF Hub Status
- The ETF has significantly influenced the growth of the ETF landscape in Hong Kong.
- HKMA's efforts, including enhancing ties with foreign investors, aim to establish Hong Kong as Asia’s premier ETF hub.
- Instruments like the ETF Connect scheme have further integrated the regional market.
Market Performance and Future Outlook
The Tracker Fund's objective is to closely mirror the Hang Seng Index, providing investors access to a structured representation of the market. Its performance has yielded a 42.1% return to investors, while the Hang Seng Index gained 39.9%.
- Increased market volatility is anticipated as Donald Trump resumes his presidency, potentially affecting tariffs and trade relations.
- Noteworthy companies like China Mobile and China Unicom remain impacted by previous sanctions under Trump.
Tracker Fund continues to captivate investors, with an average trading volume of 455.6 million units.
Conclusion: The Future of Hong Kong's ETF Market
As Hong Kong strives for ETF leadership in Asia, the Tracker Fund signifies a critical element in this evolution.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.