Hong Kong to expand indices, derivatives and yuan-denominated products: HKEX CEO

The Hong Kong Exchanges and Clearing (HKEX) is set to expand its range of indices, derivatives and yuan-denominated products, according to a blog post by its CEO, Bonnie Chan Yiting. The move aims to boost market liquidity, attract more international investors and further integrate China's currency into global financial markets.

Chan emphasized that HKEX intends to develop a multi-asset ecosystem covering equities, fixed income, currencies, commodities, derivatives, indices and data. Alongside refining listing rules and attracting more issuers, the bourse operator plans to work with mainland Chinese partners to include real estate investment trusts (Reits) into the Stock Connect program and integrate yuan counters. The southbound Stock Connect allows mainland investors to purchase eligible Hong Kong-listed shares.

Chan highlighted the growing appeal of the renminbi as a financing and investment currency, citing its large liquidity pool and potential for long-term internationalization. Issuance of HKEX-listed dim sum bonds rose 14% year on year in September, setting a record with 266.9 billion yuan (US$39.9 billion). HKEX plans to introduce more bond futures with varying maturities to help investors manage interest-rate risk and support a more comprehensive offshore renminbi yield curve.

The company is also planning the launch of a redesigned renminbi-denominated gold futures contract and additional yuan-denominated precious metals products, expanding its role in commodity trading and risk management. HKEX is exploring ways to deepen collaboration between onshore and offshore index ecosystems, which could support product innovation and provide international investors with more effective benchmarks for evaluating China's capital markets.

In November, HKEX will roll out 12 additional single-stock option classes, offering weekly and monthly expiries, building upon the 38 weekly stock options launched this year.