Deacons' Financial Services team has assisted Shanxi Securities International Asset Management Limited on the successful listing of its first exchange-traded fund (ETF). The ETF commenced trading on the Hong Kong Stock Exchange on 27 March 2020 and is not only the manager’s first retail product in Hong Kong, but also the first ETF which invests in onshore iron ore futures via the Dalian Commodity Exchange’s futures product internationalisation scheme. The internationalisation scheme is a new investment channel which enables Hong Kong and overseas managers to participate in the trading of Mainland Chinese iron ore futures.
The ETF seeks to track the performance of the DCE Iron Ore Futures Price Index by investing directly into the iron ore futures contracts listed on the Dalian Commodity Exchange.
Shanxi Securities International Asset Management Limited is a wholly owned subsidiary of Shanxi Securities Co Ltd, a company incorporated in Mainland China and listed on the Shenzhen Stock Exchange.
The team was led by Partner Taylor Hui and Pinky Siu, and associate Maggie Choi.