Mini-Hang Seng Index futures contracts enjoyed a modest debut yesterday with Hong Kong Exchanges and Clearing (HKEx) and brokers predicting the product will become more popular with retail investors looking for longer term investments.
Yesterday, 986 of the new contracts were traded, compared with 14,271 HSI futures contracts.
Mini-HSI futures contracts represent only one-fifth of the value of an HSI futures contract.
The product targets small retail investors, requiring them to put up an initial margin deposit of only HK$15,500 - 20 per cent of the initial margin of a regular HSI futures contract.
HKEx chief operating officer Frederick Grede said it was too early to comment on its success.
'The mini-HSI futures contract is off to a good start,' he said. 'But success cannot be determined by the trading volume on the first day.'
