Hong Kong's exchange-traded funds (ETFs) market has a strong foundation for growth, with the second-highest ETF ownership among the five Asia-Pacific markets surveyed, as retail investors are increasingly turning to such products to build long-term wealth, according to a BlackRock survey.
The study of over 2,000 Hong Kong adults found 31 percent currently held ETFs, representing the second-highest ownership rate among the four other surveyed markets: Australia, Japan, Singapore and Taiwan, and nearly half intend to invest or allocate more in the next 12 months.
This participation is supported by an increasingly active market in Hong Kong. In the first eight months of 2026, average daily ETF turnover in Hong Kong reached HK$39.8 billion, up 18 percent year on year.
The survey also found that investors are extending regular investments like Mandatory Provident Fund (MPF) to personal portfolios with purposes, as 69 percent of current ETF investors are interested in goal-based investments.
Investors are considering a broader range of ETF approaches to meet different portfolio needs. Although equity and bond ETFs remain the most widely held and considered, active, income-generating and thematic ETFs show the strongest potential growth interest.
Each serves a different role: active ETFs give managers flexibility to pursue specific investment objectives, income-generating ETFs aim to provide regular distributions, and thematic ETFs offer targeted exposure to long-term structural trends, and 54 percent of current and prospective ETF investors prefer clear, simplified product explanations, the survey showed.
When investors choose an ETF provider, Brand trust carries almost as much weight as track record and fees, it added.
Nicholas Peach, head of iShares Asia Pacific at BlackRock, said that Hong Kong investors are not only tapping markets via ETFs but increasingly building ETF-centric portfolios to hit their key financial targets. The trend resonates across Asia Pacific amid wider ETF options, easier access and rising investor knowledge.
Frank Feng
