HONG KONG--(BUSINESS WIRE)--The CSOP NASDAQ-100 Index Daily (2x) Leveraged Product (stock code: 7266.HK) will be listed on the Hong Kong Stock Exchange on 15th May, 2020 (hereinafter referred to as "7266.HK") to pair with CSOP NASDAQ-100 Index Daily (-2x) Inverse Product (Stock code: 7568.HK), helping investors capture U.S. stocks’ two-way movement and seize investment opportunities brought by intensifying market volatility. The listing price of 7266.HK is around HK$ 8/share with trading lot of 100, and the entry investment is approximately HKD 800. 7266.HK aims to provide two times return of the daily performance of the NASDAQ-100 Index (before fees and expenses) by investing in the E-Mini NASDAQ-100 Futures. Because of the nearly 24-hour tradability of the E-mini NASDAQ-100 Index Futures, the price of 7266.HK will move dynamically during the Hong Kong trading hours despite the trading time difference between the Hong Kong and U.S. stock markets, which may induce price insensitivity. In the current volatile market circumstances, 7266.HK has attracted an initial investment of $5 million U.S. dollars before listing.
The Nasdaq-100 (NDX) is known as one of the world’s preeminent large-cap growth index. It includes 100 of the largest U.S and international non-financial companies listed on the Nasdaq Stock Market based on market capitalization. Featuring the world's most innovative and prestigious technology companies, the Nasdaq-100 index is universally deemed to define modern day industrials.
In the beginning few months of 2020, the market experienced extreme turmoil triggered by COVID-19 outbreak. Nasdaq-100 index tumbled from highest of 9718.72 on 02/19/2020 to lowest of 6994.29 on 03/20/2020, down more than 28% within five weeks, a downturn rarely seen in history. The 30-Day volatility of Nasdaq-100 index was exaggerated from 14.66 on 02/19/2020 to 86.68 on 04/06/2020 with largest single day swing as large as -12.19% on 03/16/2020. Shortly after the huge sell-off, investor optimism about a possible turning point in the battle against Covid-19 as well as the QE policy announcement by Fed fueled a NASDAQ-100 index rebound, and it moved up 26% to 8832.41 from its lowest point, beginning a new upward trajectory on 04/07/2020. We expect market volatilities to persist among the uncertainties especially in post epidemic time. Therefore, CSOP Asset Management launched a 7266.HK to supplement with 7568.HK as a pair of simple and transparent investment tools to help investors seize the two-way investment opportunities brought by escalated market volatility.1
Ms. Melody He, Head of Sales and Product Strategy of CSOP Asset Management said, “As the leader of leveraged & product issuer in Hong Kong, CSOP Asset Management took up more than 90% market shares of Hong Kong L&I market in terms of size and turnover. Having successfully launched 7568.HK to help investors hedge the downward risks of Nasdaq-100 index in 2019 September, CSOP brought the 7266.HK to enable investors to deploy their trading strategies in a more diverse way, especially under the current marketing situation with intensifying volatility.”
“The Nasdaq-100 has a proven history of growth, impact and performance for investors who are keen to capture the potential of the world’s most innovative companies,” said Robert Hughes, Vice President and Head of Index and Advisory Services for Nasdaq Global Indexes. “Our work with CSOP is vital to bringing this opportunity to the APAC region. CSOP has a wealth of experience and expertise in serving the regional market. We look forward to working with them closely to best serve the investors in this part of the world.”2
IMPORTANT: Investment involves risks. Investment value may rise or fall. Past performance information presented is not indicative of future performance. Investors should refer to the Prospectus and the Product Key Facts Statement for further details, including product features and risk factors. Investors should not base on this material alone to make investment decisions.
Please note that the above listed investment risks are not exhaustive and investors should read the Prospectus in detail before making any investment decision. This material has not been reviewed by the Securities and Futures Commission.
For further details, including the risk factors, please refer to the respective offering documents.
About CSOP Asset Management Limited
CSOP Asset Management Limited (“CSOP”) was founded in 2008 as the first offshore asset manager set up by a regulated asset management company in China. With a dedicated focus on China investing, CSOP manages public and private funds, as well as providing investment advisory services to Asian and global investors. In addition, CSOP is best known as an ETF leader in Asia. As of 31 Dec 2019, CSOP had US$ 6.3 billion in assets under management.
This material has not been reviewed by the Securities and Futures Commission.
Issuer: CSOP Asset Management Limited
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1 Data Source: Bloomberg
2 Source: Nasdaq