On June 27, Mirae Asset Global Investments has announced that its Hong Kong-listed covered call ETF, ‘Global X HSCEI Components Covered Call Active ETF’ (stock code: 3416), has surpassed a net asset value (NAV) of $300 million.
Launched in February this year, this ETF marks Hong Kong’s first covered call strategy-based product, investing in the constituent stocks of the Hang Seng China Enterprises Index (HSCEI) and aiming to generate stable income. Drawing on extensive domestic and international experience in managing covered call ETFs, Mirae Asset partnered with a local Hong Kong entity to introduce this innovative product.
Designed to generate income through call option sales, the ETF has delivered impressive dividend performance and has garnered significant popularity among retail investors across Greater China. As of the end of May 2024, its one-month trading volume reached $92.6 million, placing it among the top 20 ETFs in Hong Kong by trading turnover—a notable achievement given the typically low trading volume of income-focused ETFs in the Hong Kong market.
The ETF’s performance has also been remarkable. As of June 26, 2024, the one-year total return stood at 21%, with an annual distribution yield of 17%. On a monthly basis, it provides a steady income of approximately 1.5%.
Mirae Asset’s ETF brand ‘Global X’ is rapidly expanding its income ETF lineup within the Hong Kong market, with notable success. In March, it launched the ‘Global X Hang Seng Tech Components Covered Call Active ETF’ based on the Hang Seng Tech Index, which has already surpassed $22 million in net assets within three months of launch.
Kim Young-hwan, CEO of Mirae Asset Global Investments’ Innovation and Global Management Division, stated, “Since entering the Hong Kong market in 2003 as the first domestic asset management firm, Mirae Asset has continuously provided competitive financial products across Greater China, building trust and reliability.”
