Emerging markets image

iSHARES MSCI
EMERGING MARKETS
ETF (HK)
3022 (HKD)
9022 (USD)

  • IMPORTANT: Investment involves risk, including the loss of principal. Investors should refer to the Prospectus and Key Facts Statement of the iShares MSCI Emerging Markets ETF (HK) (the “ETF”) for details, including the risk factors. If you are in any doubt, you should consult your stockbroker, bank manager, solicitor, accountant or other financial adviser for independent financial advice. Investors should not base investment decisions on this marketing material alone. Investors should note:

    • The iShares MSCI Emerging Markets ETF (HK) seeks to track the investment results of an index composed of companies from emerging countries.
    • The ETF is a feeder fund and seeks to achieve its investment objective by investing substantially into iShares MSCI EM UCITS ETF USD (Dist) (the “Master ETF”). The Master ETF is not authorised by the SFC and is not available for direct investment by retail investors in Hong Kong on the SEHK.

    IMPORTANT: Investment involves risk, including the loss of principal. Investors should refer to the Prospectus and Key Facts Statement of the iShares MSCI Emerging Markets ETF (HK) (the “ETF”) for details, including the risk factors. If you are in any doubt, you should consult your stockbroker, bank manager, solicitor, accountant or other financial adviser for independent financial advice. Investors should not base investment decisions on this marketing material alone. Investors should note:

    • The iShares MSCI Emerging Markets ETF (HK) seeks to track the investment results of an index composed of companies from emerging countries.
    • The ETF is a feeder fund and seeks to achieve its investment objective by investing substantially into iShares MSCI EM UCITS ETF USD (Dist) (the “Master ETF”). The Master ETF is not authorised by the SFC and is not available for direct investment by retail investors in Hong Kong on the SEHK.
    • The ETF invests substantially in the Master ETF. The management company of the Master ETF is an affiliate of the Manager and so potential conflicts of interest may arise.
    • There can be no assurance that the Master ETF’s investment objectives and strategies will be successfully achieved or that the liquidity of the Master ETF will always be sufficient to meet realisation requests. In addition, there could be trading suspension of the Master ETF in the secondary market.
    • The Manager also has no ability to control the manner in which the management company and investment manager of the Master ETF will make investments in accordance with the Master ETF’s investment objective and strategy (which may change from time to time). Any tracking error of the Master ETF and difference of the underlying constituents will contribute to the tracking error of the ETF.
    • The ETF aims to provide investment results that, before fees and expenses, closely correspond to the performance of the MSCI Emerging Markets Index. The exposure of the ETF is concentrated in the emerging markets, which may involve increased risks and special considerations not typically associated with investments in more develop markets. The Master ETF is in particular concentrated in the Chinese markets, and may be more susceptible to any economic, political, policy, foreign exchange, liquidity, tax, legal or regulatory occurrence affecting emerging markets including the Chinese markets. The ETF may therefore be more susceptible to greater price volatility when compared to a more diverse fund.
    • The Master ETF and the ETF may potentially be subject to tracking error risk, which is the risk that their returns may not track exactly those of the underlying index.
    • The Master ETF invests in stocks of large to mid-capitalisation companies. Securities of mid-capitalisation companies tend to be more volatile and less liquid than securities of larger capitalisation companies.
    • The ETF’s Base Currency is in USD but has units traded in HKD (in addition to USD). Investors may be subject to additional costs or losses associated with foreign currency fluctuations between the Base Currency and the HKD trading currency when trading units in the secondary market.
    • If there is a suspension of the inter-counter transfer of units between the counters and/or any limitation on the level of services provided by brokers and CCASS participants, Unitholders will only be able to trade their units in one counter. The market price of units traded in each counter may deviate significantly.
    • The trading price of the ETF’s Units on the SEHK is driven by market factors such as the demand and supply of the Units. Therefore, the Units may trade at a substantial premium or discount to the ETF’s NAV.
    • The Manager may at its discretion pay dividends out of the capital of the ETF. Payment of dividends out of capital amounts to a return or withdrawal of part of an investor's original investment or from any capital gains attributable to that original investment. Any distributions involving payment of dividends out of the ETF’s capital may result in an immediate reduction of the NAV per Unit.
    • The ETF may use derivatives for hedging and for investment purposes. However, usage for investment purposes will not be extensive. The ETF may suffer losses from its derivatives usage.
iShares MSCI Emerging Markets ETF (HK)

INVESTMENT OBJECTIVE

The iShares MSCI Emerging Markets ETF (HK) seeks to track the investment results of the MSCI Emerging Markets Index; this index is designed to capture large and mid-cap representation across 27 emerging markets (EM) countries.1

FUND HIGHLIGHTS

  • In Asia time zone exposure to large and mid-sized companies in emerging markets
    The only ETF listed in Hong Kong that tracks MSCI Emerging Markets Index.
  • Benefits from feeder fund structure
    First feeder ETF in Hong Kong that gains exposure to the index by investing into an Master ETF.2
  • Relatively low cost access for Hong Kong listed MSCI Emerging Markets exposure
    An all-inclusive and transparent management fee of just 0.18%.3

Learn more

WHY INVEST IN EMERGING MARKETS?

Invest in performance
Since 2001, MSCI Emerging Markets has returned an annualized performance of 9.58% vs. MSCI ACWI at 6.12%.4

Invest in performance
Invest in the future

Emerging markets GDP is projected to contract -0.8% in 2020 but expected to grow approx. +5.1% in 2021. US GDP, by comparison, is projected to contract -3.5% in 2020 and expected to grow only +4.1% in 2021.5

Invest in the future
Invest in quality
In the past decade, emerging markets have become diversified in terms of growth. Previously dominated by export and manufacturing industries, consumer technology has become an important growth driver. Additionally, North Asia is now the most influential region in emerging markets.6
Invest in quality

FUND DETAILS

Net assets US$ 18.34 million
Base currency USD
Exchange Hong Kong Stock Exchange
Domicile Hong Kong
Distribution frequency Annually
Inception date 22 July 2020
Asset class Equity
Benchmark MSCI Emerging Markets Index
Management fee 0.18%
Number of holdings 1
Bloomberg Benchmark ticker NDUEEGF

Source: BlackRock; data as of 2 February 2021. For detailed information, please refer to the offering documents, including investment objectives and risk factors.

Management fee: 0.18%
Management fee:
0.18%
Benchmark: MSCI Emerging Markets Index
Benchmark:
MSCI Emerging Markets Index
Exchange: Hong Kong Stock Exchange
Exchange:
Hong Kong Stock Exchange

TRADING INFO

Exchange Hong Kong Stock Exchange
Board lots 10
Trading currency HKD and USD
Stock Code HKD: 3022
USD: 9022
Bloomberg ticker HKD: 3022 HK
USD: 9022 HK
ISIN HKD: HK0000625217
USD: HK0000625209
SEDOL HKD: BKWGSZ6
USD: BKWGTW0

Source: BlackRock; data as of 29 January 2021.

INDEX HOLDINGS

Underlying ETF top 10 index holdings

Name Weight (%) Sector Location
TAIWAN SEMICONDUCTOR MANUFACTURING 6.44 Information Technology Taiwan
TENCENT HOLDINGS LTD 6.26 Communication China
ALIBABA GROUP HOLDING ADR REPRESEN 5.95 Consumer Discretionary China
SAMSUNG ELECTRONICS LTD 4.34 Information Technology South Korea
MEITUAN 2.05 Consumer Discretionary China
NASPERS LIMITED N LTD 1.24 Consumer Discretionary South Africa
JD.COM ADR REPRESENTING INC 0.95 Consumer Discretionary China
NIO AMERICAN DEPOSITARY SHARES REP 0.91 Consumer Discretionary China
CHINA CONSTRUCTION BANK CORP H 0.9 Financials China
RELIANCE INDUSTRIES LTD 0.89 Energy India

Source: MSCI; data as of 29 January 2021. Holdings are subject to change.

INDEX EXPOSURE BREAKDOWN

Geography

Pie chart representation of Geography

 

Source: MSCI; data as of 29 January 2021. Geographic exposure relates principally to the domicile of the issuers of the securities held in the Master ETF, added together and then expressed as a percentage of the Master ETF’s total holdings. However, in some instances, it can reflect the location where the issuer of the securities carries out much of their business. Due to rounding, the total may not be equal to 100%. Allocations are subject to change.

Sector

Pie chart representation of Sector

 

Source: MSCI; data as of 29 January 2021. Based on Global Industry Classification Standard (GICS). As a percentage of the NAV of the Master ETF. Allocations are subject to change. Due to rounding, the total may not be equal to 100%.

BENEFITS OF iSHARES

Diversification
Diversification
Generally tracks indexes that are comprised of many individual securities which can help spread out and lower risk.
Transparency
Transparency
Investment objectives and investment strategy are straightforward, with holdings disclosed daily.
Accessibility
Accessibility
Provides straightforward access to multiple stocks, market exposures and asset classes.
Liquidity
Liquidity
Trades on the exchange during market hours and investors can buy or sell in real time – just like stocks.
Cost efficiency
Cost efficiency

Generally lower management fees than an active mutual fund invested in the same asset class.7