Exclusive: Hong Kong Set to Ditch State Street as Manager of Tracker ETF

Hang Seng Investment Management Ltd. is set to replace State Street Global Advisors Asia Ltd. (State Street) as the manager of Hong Kong’s largest and most-popular exchange-traded fund (ETF), three sources with knowledge of the matter told Caixin. The change will be announced within the next one or two weeks, they said.

State Street, part of U.S.-based State Street Global Advisors Inc., has been the sole manager of the Tracker Fund of Hong Kong (TraHK) for more than 22 years. But the company has come under growing pressure as a result of deepening tensions between Washington and Beijing over investment and trading issues. Hang Seng Investment Management is wholly owned by Hang Seng Bank Ltd., one of Hong Kong’s largest lenders.