What is HSI (Hang Seng Index)?

<p id="isPasted">The Hang Seng Index (HSI) is Hong Kong's primary stock market benchmark, established in 1969. It is a free-float market-capitalization-weighted index that tracks the performance of the largest and most liquid companies listed on the Hong Kong Stock Exchange (HKEx). The HSI is considered a key indicator of Hong Kong's economic health and serves as a barometer for broader Asian markets.&nbsp;</p><p><br></p>

<p id="isPasted">The Hang Seng Index (HSI) is a free-float market capitalization-weighted stock market index in Hong Kong that serves as the primary indicator of the overall market performance on the Hong Kong Stock Exchange. It tracks the daily changes in the stock prices of the largest and most liquid companies listed in Hong Kong.&nbsp;</p><p id="isPasted"><strong>Key Facts About the HSI</strong></p><ul><li>Benchmark for Hong Kong Economy: The HSI is widely considered the most important benchmark for the Hong Kong equity market and acts as a barometer for broader Asian markets.</li><li>Constituents: The index is composed of 82 major companies across various sectors, representing about 58% of the total market capitalization of the Hong Kong Stock Exchange. These companies include major banks, utility firms, real estate developers, and technology giants like Alibaba and Tencent.</li><li>Management: It is compiled and maintained by Hang Seng Indexes Company Limited, a wholly owned subsidiary of the Hang Seng Bank.</li><li>History: The HSI was first published on November 24, 1969, although it was calculated retroactively to a base value of 100 on July 31, 1964.</li><li>Sub-indices: The constituent stocks are further classified into four sub-indices to provide clearer analysis of specific sectors: Finance, Utilities, Properties, and Commerce &amp; Industry.</li><li>Global Influence: Due to the close economic ties between Hong Kong and mainland China, the HSI is significantly influenced by Chinese economic policies and global trade tensions, making it a key index for international investors to monitor. </li></ul><p>Investors can gain exposure to the HSI through products like Exchange Traded Funds (ETFs) or index funds.&nbsp;</p>