Fullgoal Launches Its First Hong Kong‑Domiciled ETF, Targeting High Dividends and Low Volatility
- Written by: Telegraph Magazine
A milestone in Fullgoal's more than ten years of commitment to the Hong Kong capital markets, the listing marks a new chapter in the company's product development in Hong Kong and further strengthens its product portfolio bridging Chinese and international capital. Citi Investor Services is trustee, custodian and ETF administrator for the newly listed ETF.
On the launch of the firm's first ETF, Li Xiaowei, Deputy General Manager and Chief Investment Officer of Fullgoal Fund, said: "The Fullgoal Hang Seng HK High Dividend ETF is Fullgoal's first step into Hong Kong's ETF market and an important addition to our product lineup in the city. We believe that, in the current macroeconomic environment, Hong Kong equity assets combining high dividend yields with low volatility are well-positioned to deliver sustained long-term value to investors. Drawing on the 15 years of ETF management experience accumulated by Fullgoal Fund's quantitative investment team onshore, we have both the capability and the confidence to provide investors with an efficient and reliable allocation tool."
One Product: Targeting the Most Compelling Dividend Opportunities in Hong Kong Equities
The Fullgoal Hang Seng HK High Dividend ETF tracks the Hang Seng SCHK High Dividend Low Volatility Index - Net Total Return (HSHYLVN), selecting 50 high-quality Stock Connect-eligible securities with consistent dividend track records and lower price volatility. The portfolio is diversified across banking, energy, utilities, consumer, and other sectors, constructed on a net dividend yield-weighted basis, with a single-stock weighting cap of 5%.
Low Volatility: Beyond Stability, a Smarter Screen
Unlike conventional high-dividend equities, the Hang Seng SCHK High Dividend Low Volatility Index incorporates a proprietary low-volatility screening mechanism that reinforces risk management. According to Wind data, the index delivered cumulative returns of 92.75% and 91.12% over the past three and five years respectively, significantly outperforming the Hang Seng High Dividend Yield Index (HSHDYI) at 71.90% and 9.84% over the same periods, and well ahead of the Hang Seng Index at 49.86% and 22.88%¹. On the risk management front, during the March 2022 index rebalancing, the Hang Seng SCHK High Dividend Low Volatility Index removed approximately 14% of its real estate constituent weighting in a single rebalancing cycle, effectively sidestepping the sector's subsequent downturn. In 2025, against a backdrop of heightened volatility in Hong Kong equity markets, the index delivered a full-year gain of 27.27%², further demonstrating the strategy's resilience and effectiveness.
The "HALO Strategy": A Tailwind for the Times
In 2026, the appeal of high-dividend investing has become increasingly evident. Amid significant uncertainty over the direction of global interest rates, the sources of return and risk characteristics of various asset classes are being repriced. In an environment of heightened market volatility, high-dividend assets—offering both stable cash flow and a combination of defensive qualities and yield—are emerging as core targets for active capital allocation in a climate of interest rate uncertainty. At the same time, the widely discussed "HALO Strategy" (Heavy Assets, Low Obsolescence) provides a new investment rationale for Hong Kong's high-yield assets. Sector leaders in Hong Kong's energy, power, and telecommunications industries — underpinned by physical asset moats that are difficult to replicate — have demonstrated rare long-term stability in an era of rapid AI-driven technological change, and may well emerge as an important safe harbour for institutional capital.
About Fullgoal AM HK: Fullgoal Fund's Hong Kong Subsidiary, with Deep Quantitative Investment Expertise
Fullgoal Asset Management (Hong Kong) Limited was established in 2012 and holds Type 1 (Dealing in Securities), Type 4 (Advising on Securities), and Type 9 (Asset Management) licences issued by the Securities and Futures Commission of Hong Kong. It is a wholly-owned subsidiary of Fullgoal Fund Management Co., Ltd., headquartered in Shanghai.
The parent company, Fullgoal Fund, was founded in 1999 as one of the first ten fund management companies approved by the China Securities Regulatory Commission (CSRC). As of end-2025, Fullgoal Fund's total assets under management were around RMB 2 trillion3, including public fund AUM of over RMB 1.3 trillion, making it the largest asset management institution headquartered in Shanghai4.
Fullgoal Fund's quantitative investment team was established in 2009 and currently comprises more than 40 professionals with an average industry tenure of over 11 years, maintaining a long-term focus on quantitative and ETF index investing.
¹ Source: Wind. Period: 8 May 2017 – 27 February 2026. Past index performance is not indicative of future returns and does not guarantee fund performance.
² Source: Wind (total return index). Period: 1 January 2025 – 31 December 2025.
³ Source: Fullgoal Fund. As of 31 December 2025.
4 Source: Wind. As of 31 December 2025.
Hashtag: #Fullgoal
The issuer is solely responsible for the content of this announcement.
