Hong Kong-based real estate fund manager CSOP Asset Management has developed two leverage and inverse (L&I) exchange-traded products (ETPs).
The CSOP Gold Futures Daily Inverse Product and CSOP WTI Crude Oil Futures Daily Inverse Product will be listed on the Hong Kong Stock Exchange.
According to CSOP, L&I-based products are in favour with investors at times of heightened market volatility and uncertainty due to their ability to provide short-term portfolio allocation.
The products are based on indices in gold and oil provided by Solactive.
The latest fund launch follows the June 2020 debut of the CSOP Gold Futures Daily Leveraged Product, which CSOP claims was Hong Kong’s first leveraged commodity product at the time.
“L&I products are increasingly gaining importance for investors who tactically want to diversify their portfolios,” said Timo Pfeiffer, chief markets officer at Solactive.
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