Without giving reasons, fund manager State Street (ultimately a US person) now says that TraHK will resume investments in US-sanctioned stocks in the HSI, 2 days after it stopped. 2% of the units have been redeemed since then. This comes after Webb-site called for the Supervisory Committee to remove State Street and replace it with a non-US person. Will they change their mind a second time, like the New York Stock Exchange did when it delisted the stocks? Wait and see.
机构
TraHK (2800) cannot buy any more US-sanctioned HSI stocks
Company announcement, 11-Jan-2021
That's because it has US Persons as its Trustee and Manager. There is a Supervisory Committee which has the power to change both, and it should now do so, picking a non-US manager and trustee. Until then, the HK$105bn fund will struggle to track the Hang Seng Index.
机构
SFC fines State Street Global Advisors HK$4m over Tracker Fund management
SFC, 15-Jun-2016
The Tracker Fund always has a small amount of cash on hand, and SSGA failed to get the best rate on deposits, getting zero from its own bank rather than 0.01% from the market. To compensate, it is paying HK$318,315 into the fund, or about 0.00044% of NAV. Don't spend it all at once. Our take: the Tracker Fund remains the most efficient way for those who cannot pick stocks to own a piece of the HK market, costing around 0.1% p.a. compared with almost 2% on your MPF funds.