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Hong Kong > Forums  > Hong Kong Forums  > Living in Hong Kong  > Business and Finance
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Index Tracker Funds

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Old 03-08-2007, 02:25 AM
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Index Tracker Funds

I'm interested in investing in these.
Could you please advise me, where can I find them (online?, with a bank?) and which would you recommend? Would you have any reservations about investing in them?
thanks in advance for any advice
Bogs
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Old 03-08-2007, 08:20 AM
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Here's a list of the the Exchange Traded Funds available in Hong Kong: http://www.hkex.com.hk/prod/etf/etftrd.htm
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Old 03-08-2007, 10:15 AM
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>> any reservations about investing in them

Markets may go up .. and they may go down.

Index trackers are good if you believe "In principle, I believe the S&P 500 (or pick any index you want) will go up say 100% in four years" and they are a good way to take a shotgun approach, I think.

Many banks or investment outfits like Zurich will offer funds which will allow you to invest in pretty much any index you want.
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Old 04-08-2007, 10:54 PM
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Good Idea

Smart idea to buy ETFs. They might have an aura of being boring, but in fact they are better than most "actively" managed funds. Most of the seriously (e.g. sticking to the rules of professional assemt mgmt) manged funds dont even perform at par with their benchmark (e.g. your index). Those who claim outperformance often have plain luck, take bigger bets, use creative accounting etc. (well, there are a few relly good and proessional ones in the market). Before buying consider: which index does the ETF track (wacht for bulk positions in the index), is there sufficient liquidity that you sell at any time, how closely does the ETF track the index, is the quoting currency different from the underlying, how big are the spreads between buy/sell, check that they declare TER appropriately. Good luck & lots of money to you
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