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SGX Securities today welcomed the listing of CSOP iEdge Southeast Asia+ TECH Index ETF. Managed by CSOP Asset Management Pte. Ltd., the ETF offers investors access to the fast-growing digital and technology sectors in Southeast Asia and India.
Developed by SGX Index Edge as part of its suite of thematic index solutions, the iEdge Southeast Asia+ TECH Index aims to track the performance of the largest 30 technology companies based in India, Indonesia, Malaysia, Singapore, Thailand and Vietnam. Constituents in this index include companies in technology-related sectors such as Information Technology, Software and Consulting, Car Manufacturing, Electronic Components and Manufacturing, and Retail and Media Services.
Supported by growing middle-class populations and rising disposable incomes, the digital transformation of South and Southeast Asia is accelerating and driving the rise of the start-up sector. In Southeast Asia, the digital economy is projected to reach US$1 trillion by 20301, while India is fast emerging as the world’s technology and services hub, opening up massive investment opportunities.
Michael Syn, Senior Managing Director and Head of Equities, SGX Group, said, “Nowhere in the world is the pace of digital transformation faster than in South and Southeast Asia, and investors are taking note. This ETF provides investors exposure to some of the most innovative and fast-growing technology companies, enabling access to exciting growth opportunities in these markets and portfolio diversification benefits at the same time. Today’s successful launch also demonstrates CSOP Asset Management’s commitment to build a multi-asset product suite on SGX and we look forward to continuing our partnership with them to deliver more investment options for investors.”
Ding Chen, CEO of CSOP Asset Management, said, “Building on the success of the CSOP CGS-CIMB FTSE Asia Pacific Low Carbon Index ETF launched in September 2022, this marks CSOP’s fifth ETF product in the Singapore market. CSOP extends our sincere gratitude to SGX Group for their support in bringing this innovative ETF to market. This product tracks the innovative iEdge Southeast Asia+ TECH Index formulated by SGX Index Edge, aiming to capture the thriving technology performance in Southeast Asia and India. This presents an enticing opportunity for investors to capitalise on the rapid growth of the region. With a focus on diversification within the technology sector, this product is expected to resonate with investors seeking exposure to this dynamic industry. The successful listing of the CSOP iEdge Southeast Asia+ TECH Index ETF will not only enhance Singapore’s ETF market but also cater to the demands of discerning investors.”
There are 38 ETFs listed on SGX with a combined AUM of S$11 billion as of end May 2023. The Asia Pacific-ex Japan ETF market continues to perform strongly, drawing year-to-date net inflows of close to US$31.4 billion in 20222, the highest on record.
- Source: E-Conomy SEA 2022 by Bain & Company, Google and Temasek
- Source: ETFGI
