CSOP ETF new product launch: Double the excitement! Asia's first batch of leveraged and inverse single stock products shines on the market.
March 24, 2025: Asia's First Single-Stock Leveraged and Inverse Products Officially Listed on HKEX
As Hong Kong's largest issuer of leveraged and inverse products, CSOP Asset Management has pioneered the launch of 9 single-stock leveraged and inverse products: $XL2CSOPBRKB(07777.HK) (7777.HK) CSOP 2x Leveraged Berkshire Hathaway, $XL2CSOPNVDA(07788.HK) (7788.HK) CSOP 2x Leveraged NVIDIA, $XI2CSOPNVDA(07388.HK) (7388.HK) CSOP 2x Inverse NVIDIA,$XL2CSOPTSLA(07766.HK) (7766.HK) CSOP 2x Leveraged Tesla, $XI2CSOPTSLA(07366.HK) (7366.HK) CSOP 2x Inverse Tesla,$XL2CSOPCOIN(07711.HK) (7711.HK) CSOP 2x Leveraged Coinbase, $XI2CSOPCOIN(07311.HK) (7311.HK) CSOP 2x Inverse Coinbase, $XL2CSOPMSTR(07799.HK) (7799.HK) CSOP 2x Leveraged MSTR, $XI2CSOPMSTR(07399.HK) (7399.HK) CSOP 2x Inverse MSTR
This marks the first time Asian investors can 2x long or short popular U.S. stocks during daytime trading hours.
The first batch of single-stock leveraged/inverse products covers five hot U.S. stocks: tech giants NVIDIA and Tesla, crypto-related stocks Coinbase and MicroStrategy, and value investment icon Berkshire Hathaway.
As one of the hottest exchange-traded products globally, what unique appeal do single-stock leveraged/inverse products offer? And what trading surprises might Hong Kong-listed versions bring?
What Are Single-Stock Leveraged and Inverse Products?
Similar to ETFs, single-stock leveraged and inverse products (L&I products) are exchange-traded derivatives designed for short-term trading or hedging, offering investors up to 2x leverage. Unlike existing Hong Kong L&I products tracking indices, these target individual stocks like NVIDIA and Tesla.
First launched in Europe (2018), single-stock L&I products saw explosive growth after U.S. debuts in 2022. Over three years, U.S.-listed products surged 4,655% from $379 million to $18 billion, attracting $12 billion net inflows in 2024 while other L&I products faced outflows.
Hong Kong now leads as Asia's first market to introduce these products, offering new tools for trading/hotspotting overseas stocks.
Asian Trading Hours: Golden Window for U.S. Stock Plays
The clearest advantage is Asian trading hours—investors can long/short U.S. megacaps during daytime and uncover unique opportunities when U.S. markets are closed.
Historical data shows U.S. market performance is significantly driven by after-hours moves, with overnight returns and volatility exceeding daytime sessions (ET).
Source: Bloomberg.*
Source: Bloomberg.*
*Simulated data for illustration only. Not designed for holding >1 day—performance may diverge from underlying stock's leveraged moves (e.g., losses could exceed 2x stock declines).
All trademarks belong to respective owners. Usage implies no endorsement.
This likely reflects that key U.S. stock-moving events often occur overnight or during Asian hours—
– Earnings releases
U.S. companies report earnings post-market, critically impacting shares.
– Trump's social media posts
Trump policies remain market-moving, with frequent late-night/early-morning posts offering policy clues.
– China trade policies
Many U.S. giants like NVIDIA rely on China revenue, making trade policies pivotal.
– Chinese AI developments
Rising Chinese AI firms may trigger more "DeepSeek moments" for U.S. tech.
– BOJ policy shifts
As the world's largest creditor, Japan's policies (e.g., last year's carry-trade unwinds) impact global markets during Asian hours.
Hong Kong L&I Products: Front-Run U.S. Stock Volatility
Hong Kong investors can capitalize on these events earlier via locally listed L&I products to capture U.S. stock swings both ways. (Examples use HK time for clarity.)
Case 1: NVIDIA vs. DeepSeek
When Chinese AI model DeepSeek topped Apple's App Store in January 2025, sparking concerns about NVIDIA's growth, NVIDIA plunged 17% on January 27 evening. With Hong Kong markets open earlier, using inverse products could have yielded ~34%* gains.
Case 2: Tesla & U.S. Election
As a major Trump trade in 2024, Tesla jumped 15% on November 6 after his victory was announced post-U.S.-market-close. Hong Kong leveraged products offered ~30%* potential returns during Asian hours.
Case 3: Leveraged Value Investing
$XL2CSOPBRKB(07777.HK) stands out by letting investors amplify "Oracle of Omaha" Buffett's portfolio. Berkshire has outperformed Nasdaq 100 and S&P 500 for decades, with 2x leveraged simulations showing even stronger returns.
CSOP: Hong Kong's L&I Market Leader
Since Hong Kong's first L&I products in 2016, CSOP has led with 98% AUM and 99.5% trading share by end-2024. Its new single-stock products use swap-based synthetic strategies to track 2x daily returns or inverse performance (pre-fees).
Single-stock L&I boom, Hong Kong first to race,
CSOP launches nine, five hot stocks in place.
NVIDIA, Tesla, crypto pair so bright,
Berkshire's steady—leverage shines in daylight!
(Verse by CSOP's AI "Mao")
[1] Source: Bloomberg, CSOP. Data as of Dec 31, 2024.
Disclaimers
These products are SFC-authorized but not recommended. They carry risks—extreme volatility may render them unsustainable. Not for holding >1 day or long-term investing. Past performance ≠ future results. Consult advisors before investing.
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