Hang Seng Index company: Net inflow of Hong Kong shares through the Stock Connect system surpasses 1 trillion Hong Kong dollars in the year, poised to set a new record for annual net inflow total.

On September 19, the Hang Seng Index Company issued a statement saying that the Hong Kong stock connect has recorded a net inflow of over 1 trillion Hong Kong dollars since the beginning of the year, making it likely to set a new record for annual net inflows by 2025. In addition, with the inclusion of Exchange Traded Funds (ETFs) in the mutual market access program, it has further provided mainland investors with more channels for investing in Hong Kong stocks, which has also driven the trading volume of southbound trading ETFs to a new high. Currently, out of the 17 eligible Hong Kong stock connect ETFs, 13 track the Hang Seng Index series. The Hang Seng Index Company stated that since the launch of the stock connect program in November 2014, mainland investors have become a new force in the Hong Kong stock market. HKEX data shows that the average daily trading volume (one-way) of the Hong Kong stock connect in the first 8 months of this year was 60.8 billion Hong Kong dollars, accounting for 24.5% of the overall market, a significant increase compared to less than 3% in 2015. In the past 10 years, the inflow of funds through the Hong Kong stock connect has continued to increase, from just 13.1 billion Hong Kong dollars in 2014 to over 807.9 billion Hong Kong dollars in 2024. From the beginning of this year until September 12, the net inflow of funds through the Hong Kong stock connect reached 1.0729 trillion Hong Kong dollars, a 33% increase from the previous year and likely to set a new yearly record. The trend of northbound flows has been strong in the past two years. As of August, the Hong Kong stock market has recorded 26 consecutive months of net inflows. The net inflow in August alone reached 112.2 billion Hong Kong dollars, the 9th highest since records began. In fact, six months this year have ranked among the top ten in terms of net inflows. Additionally, the daily net inflow has also reached a new high, with seven trading days this year ranking among the top ten days of net inflows, among which the 359 billion Hong Kong dollars on August 15 was the highest level ever recorded.