Hong Kong Exchanges and Clearing Limited (HKEX) has made history as the first Asian exchange to unveil Single Stock Leveraged and Inverse (L&I) Products. Collaborating with CSOP Asset Management, these innovative financial tools provide investors with +2x leveraged or -2x inverse exposure to highly liquid global stocks. This development marks a significant milestone in diversifying and enhancing Hong Kong's capital markets.

Unlock New Opportunities with Cutting-Edge Financial Instruments

Pioneering L&I Products in Asia

The introduction of Single Stock Leveraged and Inverse Products by HKEX represents a transformative leap forward for Asian financial markets. By partnering with CSOP Asset Management, HKEX has successfully launched instruments offering +2x leverage or -2x inverse exposure to prominent international equities. These products empower investors to execute precise strategies tailored to their risk appetite and market outlook. For instance, an investor bullish on Tesla can amplify potential gains through 2x leverage, while another bearish on NVIDIA might capitalize on downward price movements using inverse exposure.This innovation aligns perfectly with the growing demand for sophisticated investment options among both retail and institutional participants. As more traders seek advanced tools to navigate volatile markets, HKEX’s L&I Products position Hong Kong at the forefront of financial evolution. Furthermore, they underscore the city's commitment to fostering cutting-edge solutions that cater to diverse investment needs.

Blueprint for Market Growth

The launch of these pioneering products coincides with a period of remarkable growth for Hong Kong's Exchange-Traded Products (ETP) sector. In early 2025, ETP average daily turnover surged to $36 billion—a staggering 89% increase compared to the same timeframe in the previous year. Such robust performance reflects heightened investor interest in leveraging Hong Kong's expanding array of financial offerings. Additionally, 2024 witnessed record-breaking achievements, including a market capitalization of HK$463 billion and unprecedented listing activity.These figures demonstrate the immense appeal of Hong Kong's financial ecosystem, which continues to draw global attention. The addition of Single Stock L&I Products is expected to further catalyze this momentum by attracting active traders and institutional investors eager to harness precise exposure to well-known global equities. Consequently, the depth and diversity of Hong Kong's capital markets are set to expand significantly, reinforcing its status as a premier financial hub.

Tailored Exposure to Global Leaders

Investors now have access to a carefully curated selection of high-profile stocks, including tech giants like Tesla, NVIDIA, and Coinbase, alongside conglomerates such as Berkshire Hathaway and blockchain pioneers like MicroStrategy. Each stock offers unique characteristics and growth prospects, enabling investors to craft bespoke strategies aligned with their objectives. For example, someone optimistic about electric vehicle adoption could utilize Tesla's 2x leverage to enhance returns during favorable market conditions. Meanwhile, those anticipating regulatory challenges for cryptocurrency exchanges might employ Coinbase's inverse product to capitalize on potential declines.Moreover, these products serve as valuable risk management tools. Investors can hedge existing positions or explore arbitrage opportunities across different asset classes. The versatility of Single Stock L&I Products ensures they cater to a wide range of scenarios, from short-term speculation to long-term portfolio optimization. Their availability underscores HKEX's dedication to providing comprehensive solutions that address contemporary investment challenges.

Empowering Active Traders and Institutions

The primary beneficiaries of these new products include active traders and institutional investors who require precision and flexibility in executing their strategies. Active traders, accustomed to navigating fast-moving markets, can leverage these instruments to amplify returns or mitigate losses during volatile periods. On the other hand, institutional investors often seek ways to optimize portfolios and manage risks effectively. With Single Stock L&I Products, they gain access to targeted exposures previously unavailable in the region.For example, a hedge fund focused on technology stocks may use NVIDIA's inverse product to offset potential downturns in the semiconductor industry. Alternatively, an equity manager bullish on electric vehicles might deploy Tesla's leveraged option to maximize gains during upward trends. Such capabilities enhance decision-making processes and improve overall portfolio performance. By catering to these sophisticated user groups, HKEX strengthens its position as a preferred destination for global investors.

Bolstering Hong Kong's Financial Leadership

Beyond individual benefits, the introduction of Single Stock L&I Products contributes to Hong Kong's broader mission of establishing itself as a leading financial center. By offering innovative tools comparable to those found in mature markets, HKEX enhances its competitive edge and attracts international capital. This initiative also supports the city's strategic goals of promoting sustainable economic growth and fostering technological advancements within the financial sector.As global markets evolve, the need for adaptable and resilient financial systems becomes increasingly critical. Hong Kong's proactive approach in launching these products exemplifies its readiness to embrace change and lead innovation. Through continued investments in infrastructure, talent development, and regulatory frameworks, the city remains poised to capitalize on emerging opportunities and solidify its role in shaping the future of finance.