Huatai-PCG Launches Hong Kong and Korea Semiconductor ETF

Huatai-PCG Asset Management has launched the Huatai-PCG HKEX KRX Semiconductor Index ETF (3569) on the Hong Kong Stock Exchange. The fund tracks a 30-stock benchmark allocating 62% to Hong Kong-listed companies and 38% to South Korean stocks, including all constituents of the KRX Semiconductor Top 15 Index. Hong Kong holdings must be eligible for Southbound Stock Connect, with related technology companies added if fewer than 15 semiconductor names qualify. The index rebalances quarterly. The ETF primarily uses full physical replication but may adopt representative sampling, including funded total return swaps covering up to 50% of NAV. Shares trade in Hong Kong dollars in lots of 100. The annual management fee is 0.99%, while estimated ongoing charges are 1.8%, excluding swap fees. Annual distributions are discretionary and may be paid from capital.