Lyxor ETF Hang Seng offers you a unique opportunity to gain instant exposure to Hong Kong through a well-established globally recognized index, representing 36 Hong Kong listed companies. The investment objective of the ETF is to provide investment results that closely correspond to the performance of the Hang Seng Index insofar as possible minimizing the tracking error between the Fund’s performance and that of the Index.
1. Benefit from the many opportunities of a world class “Financial Gateway”
- Hong Kong is now the second largest IPO market and the 7th largest stock market in the world in 2006.
- The financial sector accounts for 40% of the market capitalization.
2. Destination of Chinese IPOs
- Chinese H shares IPOs amount to HKD289 billion in 2006 alone, driving the index high on high.
3. Beneficiary of China’s QDII scheme (Qualified Domestic Institutional Investors)
- Hong Kong’s blue chip companies are one of the qualified assets under the QDII scheme
4. Benefit from its “Gateway to China” positioning
- The stock market advanced 114% on the back of improving economic fundamentals and RMB revaluation from 2003 to 2006.
- Hong Kong’s growth is further propelled by the closer economic relationship with China. Under CEPA (Closer Economic Partnership Arrangement), over 1,300 products benefit from zero to low tariffs and 270 service sectors, including finance, retail and service industries, benefit from lower capital requirement in China.
- Designated offshore RMB banking and bond issuance centre.
5. Benefit from its “Gateway to world export” positioning
- Leverage Hong Kong’s free trade policy and world class logistic services.
- Trade and export sectors remain the largest economic contributor of Hong Kong, representing around 27.6% of GDP
Lyxor International Asset Management is a wholly-owned subsidiary of Societe Generale, belonging to the Corporate and Investment Banking arm of the Group. Lyxor AM offers the best in financial innovation and specializes in three businesses: structured alternative investments, structured funds, and index tracking for retail investors, institutional investors, management professionals and distribution networks for financial products.
The Hang Seng Index is a free-float capitalization-weighted index of 36 companies that represents approximately 66% of the total market capitalization of the Hong Kong Stock Exchange. The index is divided into four subindexes: Commerce and Industry, Finance, Utilities, and Properties.
As at 5 March 2007
BANK EAST ASIA |
CHINA UNICOM |
HONG KONG EXCHNG |
BANK OF CHINA-H |
CITIC PACIFIC |
HSBC HLDGS PLC |
BOC HONG KONG HO |
CLP HLDGS LTD |
HUTCHISON WHAMPO |
CATHAY PAC AIR |
CNOOC LTD |
LI & FUNG LTD |
CHEUNG KG INFRAS |
COSCO PAC LTD |
MTR CORP |
CHEUNG KONG |
ESPRIT HLDGS |
NEW WORLD DEV |
CHINA CONST BA-H |
FOXCONN INTL HLD |
PCCW LTD |
CHINA MERCHANT |
HANG LUNG PROPER |
SINO LAND CO |
CHINA MOBILE |
HANG SENG BK |
SUN HUNG KAI PRO |
CHINA NETCOM GR |
HENDERSON LAND D |
SWIRE PACIF 'A' |
CHINA PETROLEU-H |
HONG KG CHINA GS |
WHARF HLDG |
CHINA RES ENT |
HONG KG ELEC |
YUE YUEN INDUS |
For interactive charting, please click here.
A full description of the Lyxor ETF is set out in its Prospectus issued by Lyxor International Asset Management, the responsible person for the Lyxor ETF in Singapore. The Prospectus of the Lyxor ETF is available from RBC Dexia Trust Services Singapore Limited (Registration Number 199504677Z), the Singapore representative of the Lyxor ETF. All applications for units in the Lyxor ETF must be made on the application form accompanying the Prospectus. Past performance or any forecast is not necessarily indicative of future or likely performance. This document is published for information and general circulation only and does not have regard to the specific investment objectives, financial situation and the particular needs of any specific person. The value of units in the Lyxor ETF and the income accruing to the units, if any, may rise or fall. Potential investors should read the Prospectus of the Lyxor ETF before deciding whether to invest in the units of the Lyxor ETF, and should seek advice from a financial adviser regarding the suitability of the investment product or consider carefully whether the Lyxor ETF is suitable for him before investing. Investors may only redeem units with Lyxor International Asset Management under certain specified conditions. The listing of the units of the Lyxor ETF does not guarantee a liquid market for the units. The information contained herein is provided by Société Générale, the Singapore marketing representative of the Lyxor ETF. Any reference to Lyxor International Asset Management is a reference to such company solely in its capacity as the manager of the Lyxor ETF. Lyxor International Asset Management carries on fund management work outside Singapore and neither carries on business nor offers any services in Singapore. Please refer to the Prospectus for disclaimers on the Hang Seng Index.
Please note that the Lyxor ETF may make use of financial derivative instruments negotiated over-the-counter for efficient portfolio management and/or hedging purposes. Investors should refer to the Prospectus for more information.
