The Bullish Bears break down a list of the Hang Seng Index stocks and companies, ETFs, and futures. When you think of the Chinese Economy, you should think of the Hang Seng Index—named after the largest bank, one of Hong Kong’s largest listed companies founded in 1993. Hang Seng means “ever-growing,” which is incredibly fitting because that is what banks and YOUR investments should do…right? This index is a free-floating adjusted market capitalization-weighted stock market index in China.
Hang Seng is located in Hong Kong, a major Asian city for economic activity. Hong Kong means “fragrant harbor,” probably because it has always been a hotbed for worldly trade. The Hang Seng Index records and monitors daily changes in the Hong Kong market’s largest companies. It is considered the main indicator of the overall market performance in China.
We are not affiliated with nor endorse any of these companies, and nothing on this site constitutes a recommendation to buy or sell.
Chart by TradingView
Table of Contents
List of Hang Seng Stocks and Companies
| Symbol | Name | Market Cap | Sector | Industry |
|---|---|---|---|---|
| 700 | Tencent Holdings Ltd | $441.17 B | Communication Services | Internet Content & Information |
| 9988 | Alibaba Group Holding Limited | $290.40 B | Consumer Discretionary | Internet Retail |
| 1398 | Industrial & Commercial Bank of China Ltd | $250.37 B | Financials | Banks |
| 939 | China Construction Bank Corp | $189.37 B | Financials | Banks |
| 3968 | China Merchants Bank Co Ltd | $185.98 B | Financials | Banks |
| 857 | PetroChina Company Limited | $144.50 B | Energy | Oil & Gas Integrated |
| 3988 | Bank of China Ltd | $141.22 B | Financials | Banks |
| 5 | HSBC Holdings plc | $140.15 B | Financials | Banks |
| 941 | China Mobile Ltd | $139.30 B | Communication Services | Telecom Services |
| 2318 | Ping An Insurance (Group) Company of China Ltd | $134.25 B | Financials | Insurance—Life |
| 1299 | AIA Group Ltd | $125.16 B | Financials | Insurance—Life |
| 3690 | Meituan | $114.28 B | Consumer Discretionary | Internet Retail |
| 1211 | BYD Co Ltd | $104.42 B | Consumer Discretionary | Auto Manufacturers |
| 9618 | JD.com, Inc. | $90.46 B | Consumer Discretionary | Internet Retail |
| 386 | China Petroleum & Chemical Corporation | $78.39 B | Energy | Oil & Gas Integrated |
| 883 | CNOOC Limited | $60.19 B | Energy | Oil & Gas E&P |
| 9999 | NetEase, Inc. | $59.76 B | Communication Services | Internet Content & Information |
| 388 | Hong Kong Exchanges & Clearing Ltd | $59.75 B | Financials | Financial Data & Stock Exchanges |
| 1810 | Xiaomi Corp | $43.10 B | Technology | Consumer Electronics |
| 11 | Hang Seng Bank Limited | $41.47 B | Financials | Banks |
| 2388 | BOC Hong Kong Holdings Ltd | $39.99 B | Financials | Banks |
| 16 | Sun Hung Kai Properties Ltd | $35.04 B | Real Estate | Real Estate—Development |
| 1876 | Budweiser Brewing Company APAC Ltd | $34.73 B | Consumer Staples | Beverages—Brewers |
| 66 | MTR Corp Ltd | $33.66 B | Industrials | Railroads |
| 1109 | China Resources Land Ltd | $33.26 B | Real Estate | Real Estate—Development |
| 688 | China Overseas Land & Investment Ltd | $32.49 B | Real Estate | Real Estate—Development |
| 2269 | WuXi Biologics | $32.41 B | Healthcare | Biotechnology |
| 267 | CITIC Ltd | $32.33 B | Industrials | Conglomerates |
| 2020 | ANTA Sports Products Ltd | $32.20 B | Consumer Discretionary | Leisure |
| 960 | Longfor Group Holdings Ltd | $31.98 B | Real Estate | Real Estate—Development |
| 669 | Techtronic Industries Company Ltd | $28.75 B | Industrials | Tools & Accessories |
| 1 | CK Hutchison Holdings Ltd | $27.94 B | Industrials | Conglomerates |
| 2 | CLP Holdings Ltd | $25.29 B | Utilities | Utilities—Regulated Electric |
| 1113 | CK Asset Holdings Limited | $25.21 B | Real Estate | Real Estate—Development |
| 27 | Galaxy Entertainment Group Ltd | $25.17 B | Consumer Discretionary | Resorts & Casinos |
| 3 | The Hong Kong and China Gas Company Ltd | $22.54 B | Utilities | Utilities—Regulated Gas |
| 2319 | China Mengniu Dairy Co Ltd | $21.17 B | Consumer Staples | Packaged Foods |
| 2331 | Li Ning Co Ltd | $20.75 B | Consumer Discretionary | Leisure |
| 291 | China Resources Beer (Holdings) Company Ltd | $19.84 B | Consumer Staples | Beverages—Brewers |
| 12 | Henderson Land Development Co Ltd | $19.67 B | Real Estate | Real Estate Services |
| 2313 | Shenzhou International Group Holdings Ltd | $19.50 B | Consumer Discretionary | Textile Manufacturing |
| 1928 | Sands China Ltd | $18.52 B | Consumer Discretionary | Resorts & Casinos |
| 823 | Link Real Estate Investment Trust | $18.27 B | Real Estate | REIT—Retail |
| 1038 | CK Infrastructure Holdings Ltd | $17.81 B | Utilities | Utilities—Regulated Electric |
| 2007 | Country Garden Holdings Co Ltd | $16.71 B | Real Estate | Real Estate—Development |
| 2382 | Sunny Optical Technology Group Co Ltd | $16.59 B | Technology | Electronic Components |
| 2688 | ENN Energy Holdings Ltd | $16.33 B | Utilities | Utilities—Regulated Gas |
| 1997 | Wharf Real Estate Investment Company Ltd | $15.34 B | Real Estate | Real Estate Services |
| 968 | Xinyi Solar Holdings Ltd | $15.26 B | Technology | Solar |
| 175 | Geely Automobile Holdings Ltd | $15.06 B | Consumer Discretionary | Auto Manufacturers |
| 762 | China Unicom Hong Kong Ltd | $14.76 B | Communication Services | Telecom Services |
| 6 | Power Assets Holdings Ltd | $14.05 B | Utilities | Utilities—Independent Power Producers |
| 1093 | CSPC Pharmaceutical Group Ltd | $13.63 B | Healthcare | Drug Manufacturers—General |
| 6098 | Country Garden Services Holdings Company Ltd | $13.32 B | Real Estate | Real Estate Services |
| 1177 | Sino Biopharmaceutical Ltd | $11.95 B | Healthcare | Biotechnology |
| 17 | New World Development Company Ltd | $10.47 B | Real Estate | Real Estate—Diversified |
| 6862 | Haidilao International Holding Ltd | $9.77 B | Consumer Discretionary | Restaurants |
| 868 | Xinyi Glass Holdings Ltd | $9.25 B | Industrials | Building Products & Equipment |
| 288 | WH Group Ltd | $9.04 B | Consumer Staples | Packaged Foods |
| 101 | Hang Lung Properties Ltd | $9.03 B | Real Estate | Real Estate Services |
| 241 | Alibaba Health Information Technology Ltd | $8.49 B | Healthcare | Pharmaceutical Retailers |
| 1044 | Hengan International Group Co Ltd | $5.39 B | Consumer Staples | Household & Personal Products |
| 2628 | China Life Insurance Co. Ltd | $5.22 B | Financials | Insurance—Life |
| 2018 | AAC Technologies Holdings, Inc. | $2.86 B | Technology | Communication Equipment |
Hang Seng ETF List
| Symbol | Name |
|---|---|
| EWH | IShares MSCI Hong Kong ETF |
| FXI | IShares China Large-Cap ETF |
| FHK | First Trust Hong Kong AlphaDEX ETF |
| TAO | Guggenheim China Real Estate ETF |
| HAHA | CSOP China CSI 300 A-H Dynamic ETF |
Hang Seng Futures Symbol
| Symbol | Name |
|---|---|
| HSI | HANG SENG INDEX FUTURES |
What Is the Hang Seng Index?
Hang Seng Index was established in 1933 and served over 3.5 million residents with roughly 280 branches in Hong Kong. Hang Seng’s parent company is HSBC, which presently owns a more than 60% equity interest in the bank.
China is a socialist country and thus has a socialist economic system controlled by the People’s Republic of China. The system is based on the predominance of public ownership and state-owned enterprises within the market economy. The Chinese military is expanding, especially its naval forces in the South Sea, and escalating geopolitical tensions. How will this affect the stock market? That is yet to be seen. No country wants war, but it does appear that the military buildup has caught the attention of the US and other nations.
China is a major exporter. Their top exports are broadcasting equipment, computers ($AAPL devices), and office machine parts (like Xerox). Semiconductors (hello $AMD) and telephones (mostly cell phones). Also, furniture, lighting, and miscellaneous plastics and plastic items.
Is Hong Kong Part Of China?
It’s time for a little history lesson here. In 1977, the United Kingdom transferred sovereignty to China, and Hong Kong became China’s Special Administrative Region (SAR). For official purposes, Hong Kong is considered a part of China.
However, Hong Kong operates under a “one country, two systems” principle. Hong Kong is granted significant autonomy, enabling it to maintain its legal, economic, and political systems. Additionally, Hong Kong has its government, legal system, and currency, and it can participate in international organizations while independently maintaining external relations.
While Hong Kong is a part of China, it retains a distinct identity and enjoys certain privileges and liberties not found in other parts of China. These include greater freedom of speech, press, and assembly, as well as a separate immigration policy and separate representation in international sporting events.
Vulnerable Hang Seng index
The Hang Seng Index is in a selloff, plunging in value every week in 2024. It reached a 14-month low of $15,904, its lowest since October 2022. These dismal numbers make the Hang Seng Index one of the top underperforming indexes globally.
Why Is the Hang Seng Index Plunging?
1. Economic Growth Concerns
Many of the companies listed on the Hang Seng Index are linked to economic growth in China. Weakening economic growth in China has raised concerns about the future of the companies in the Index. One contributing factor is the decline in major Chinese stock prices, including companies like Tencent and Alibaba. This downward pressure on Chinese stocks has significantly impacted the HSI.
2. Evergrande Crisis
The HSI is particularly sensitive to developments in the property sector. This sensitivity is due to the high number of property-related companies on the Index. Evergrande, being one of China’s largest property developers, plays a crucial role in the sector’s overall health.
The Evergrande crisis began to unfold in 2020 when concerns arose about their massive debt levels and liquidity issues. The company had invested significant debt to fund its expansion and land acquisitions. Because of this, they struggled to meet their payment obligations. As of late 2023, they owed more than $325 billion.
Understandably, the crisis surrounding China Evergrande Group has hurt the HSI. Evergrande’s financial difficulties and potential default on its debt triggered a broader selloff, leading to a decline in the HSI.
Overall, the uncertainties and potential risks associated with Evergrande’s financial situation have weighed heavily on investor sentiment, contributing to the HSI decline.
3. Political Uncertainty
Hong Kong, an international financial center, relies heavily on trade and global economic conditions. Unfortunately, the ongoing trade disputes between the United States and China contribute to the region’s uncertainty and market volatility. Furthermore, the continuing political unrest in Hong Kong and tensions between China and other countries have added to the unease in the market.
4. Trade Disputes
Trade disputes between Hong Kong, China, and the United States have arisen due to various factors. One primary reason is that the United States treats Hong Kong as part of mainland China in terms of trade. Historically, Hong Kong has enjoyed a special trade status with the United States, which treated it separately from mainland China. However, the change in Hong Kong’s treatment occurred due to concerns about China’s tightening grip on the region and the erosion of its autonomy.
As a result, the United States has implemented policies that treat Hong Kong as part of mainland China, impacting trade relationships and potentially affecting economic activities between the two.
Intellectual property rights, market access, and technology transfer disputes also exist. These disputes have led to both sides imposing tariffs and trade barriers, creating further tensions and uncertainties.
5. Lingering Impacts of Covid
I don’t think the Hang Seng Index is alone in experiencing the lingering impacts of the COVID-19 pandemic. Worldwide, the pandemic has caused disruptions to global supply chains, reduced consumer spending, and weakened international trade.
The energy sector, particularly oil companies, was the worst hit by the global COVID-19 pandemic. Share prices of oil companies tanked as demand plummeted. Firstly, with workers no longer needing to commute, the demand for fuel tanked. Secondly, with the tourism industry halted, so did demand.
Overall, the Hang Seng Index is not the only Index that did not recover fully. The London Stock Exchange (FTSE 100 index)was also slow to recover. But, as I mentioned above, the slow recovery likely has more to do with political events than the pandemic.
How to Invest in the Hang Seng Index
One way to invest in the Hang Seng Index is through ETFs. An example is the iShares Core Hang Seng Index ETF, which is designed to track the performance of the HSI. The ETF offers a low-cost and diversified exposure to the Hong Kong stock market and is listed on major global stock exchanges. Another option is index funds, such as the Hang Seng Index Fund offered by HSBC, which invests in a basket of stocks listed on the HSI.
Frequently Asked Questions
Hong Kong. The Hang Seng Index (HSI) is a stock market index. It represents the performance of the largest companies listed on the Hong Kong Stock Exchange.
The Hang Seng Index is important because it closely monitors every stock change in China's stock market. It's then recorded, and investors/traders have a good idea of market sentiment.
The Hang Seng Index monitors the 50 most profitable Chinese companies. It's also known as the China 50 Index.
As its name suggests, the Hang Seng Index is specifically for Hong Kong. Hong Kong is a Special Administrative Region (SAR) of China.
The highest Hang Seng Index was 33223.58 points, reached on January 26, 2018.
The HSI is a free-float-adjusted, market-capitalization-weighted index that tracks the daily changes in stock prices of 50 of the largest Hong Kong stock market companies. It is helpful as it's a vital indicator of the overall market performance in Hong Kong.
For many reasons, from economic growth concerns, political uncertainty, and the lingering impact of COVID-19 to the Evergrande crisis.
