CSOP adds Japan and Asia tech ETFs to Southbound Connect
CSOP Asset Management added two ETFs to the Southbound ETF Connect scheme on 30 October, including its first Japan-focused product. The link will expand to 41 products from 9 November. Average daily turnover on the scheme exceeded HK$4.8 billion year-to-date in 2026, up 15 per cent year-on-year.
Two exchange-traded funds managed by CSOP Asset Management were added to the Southbound ETF Connect scheme on Friday, including the issuer's first Japan-focused product to join the cross-border trading link. The inclusion will take effect on 9 November, expanding the total number of eligible Southbound ETF Connect products from 31 to 41.
The newly included CSOP Nomura FTSE HK-Japan Equity Cash Flow Focus Index ETF (3535) tracks the FTSE ETF Connect HK-Japan Cash Flow Focus Index (net total return version). Also joining the link is the CSOP FTSE Asia Tech and Dividend Index ETF (3473), which tracks the FTSE ETF Connect Asia Tech & Succession Index (net total return version).
The benchmark selects 23 high-dividend, Southbound-eligible Hong Kong-listed securities alongside up to 20 technology stocks listed in Taiwan, Japan, Singapore and South Korea by market capitalization. The index maintains a 65 per cent to 35 per cent weighting split between Hong Kong and non-Hong Kong securities at rebalancing, capping individual free-float market capitalization weights at 8 per cent for Hong Kong constituents and 15 per cent for non-Hong Kong constituents.
Year-to-date in 2026, average daily turnover on the Southbound ETF Connect has exceeded HK$4.8 billion, up 15 per cent year-on-year, the company said. CSOP holds the largest market share and manages the highest number of products under the Southbound scheme. Since its inclusion, the CSOP FTSE HK-Korea Tech+ Index ETF (3431) has gained more than 30 per cent, ranking first in returns among all Southbound ETF Connect products.
“CSOP will continue to fully support Hong Kong in playing its vital role as a ‘super-connector’ and ‘super value-adder,’ making sustained efforts in deepening regional mutual market access, promoting two-way capital flows, and expanding into international markets,” said Ding Chen, chief executive of CSOP Asset Management.