Hong Kong Exchanges’ non-equity push seen as key for stock boost
Fixed‑income related revenues are expected to become a new growth curve for the bourse operator
Published Wed, Aug 19, 2026 · 10:07 AM
[HONG KONG] With record trading volumes and new listings providing little boost for shares of Hong Kong Exchanges & Clearing, analysts are increasingly looking for a jolt from the company’s expansion of non-equity business.
Investors have been reluctant to pile into HKEX, partly due to regulatory concerns over cross-border investment flows and quality control over new stock listings.
Its new business growth will be in focus when the bourse operator reports earnings later on Wednesday (Aug 19).
HKEX’s launch of China offshore government bond futures in August has been seen as a key move to bolster its position in Beijing’s drive for yuan internationalisation.
“Fixed‑income related revenues are expected to become a new growth curve for HKEX, helping diversify its income streams and cushion the impact of market cycles on earnings,” said Li Yue, vice-president at Industrial and Commercial Bank of China International.
Shares of HKEX are little changed so far in 2026. They are down 14 per cent over the past five years, trailing gains in global peers including Nasdaq and London Stock Exchange Group.
While equities still account for the bulk of its operations, HKEX has made moves into other asset classes, including its 2012 acquisition of London Metal Exchange.
Among recent efforts to diversify, the firm is co-developing an electronic fixed-income and currency trading platform with the China Foreign Exchange Trade System (CFETS).
Goldman Sachs Group analyst Thomas Wang called bonds and foreign exchange “the next structural growth engine” for HKEX shares.
Offshore government bond futures have narrower bid-ask spreads and higher capital efficiency, which should facilitate hedging and thus attract investors, he added.
Bond futures trading volume has been moderating since the Aug 3 debut.
Open interest for the September futures on five-year government bonds has been increasing, with current outstanding contracts more than doubling since the launch.
“The bond futures extended HKEX’s product matrix and will help it span business to onshore rates and FX,” said Zhaopeng Xing, senior China strategist at Australia & New Zealand Banking Group.
“We look forward to the coming joint trading platform with CFETS, which will be key to its role in yuan internationalisation,” he said. BLOOMBERG
