The South Korean asset manager has brought in Mirae Asset's former Hong Kong head of exchange-traded funds as it prepares to list more products in the city.
The Korean firm's head of ETF strategy said the asset manager's expectations had not been high for its first leveraged and inverse products in Hong Kong, as it moves to delist them.
The Malaysia and Singapore bourses recognise they are lagging peers in North Asia in respect of exchange-traded funds – and are keen to catch up.
After an initial lack of asset manager interest in listing leveraged and inverse exchange-traded funds in Singapore, the local bourse expects the first products to arrive in 2017.
Certain leveraged and inverse exchange-traded funds newly listed in Hong Kong are being traded far more heavily than others, which has led some to question the source of demand.
As Hong Kong's securities regulator softens its stance on leveraged funds, Citi's Stewart Aldcroft dismisses concerns that they are unsuitable for local retail investors.
The Bureau of Labor Funds, which oversees the country's public pension assets, uses ETFs, including smart-beta and leveraged/inverse products, but wants to see a wider domestic choice.
The overseas arm of China Asset Management is listing its first leveraged and inverse ETFs in Hong Kong, which will track the Nasdaq 100. It has partnered with US fund house Direxion.
The asset manager is the second to launch leveraged and inverse ETFs in Hong Kong – two Indian equity products – and has hired a salesperson to cover Australia and Southeast Asia.
The firm will list Korea- and Japan-linked leveraged and inverse products next week in Hong Kong and has others planned, but admits there is more to be done for the market to take off.
The deputy director-general of the securities and futures bureau at Taiwan's Financial Supervisory Commission discusses introducing alternative products and new types of ETFs.
Hong Kong could see its first leveraged and inverse ETFs list next month, but sources say no applications have been filed in Singapore and that SGX is frustrated by the lack of take-up.