The Hang Seng is the leading index in Hong Kong.
It consists of the top 45 companies that represent approximately 70% of the market capitalisationMarket capitalisation (short: "market cap") is the total ma... More on the Hong Kong stock exchangeThe Hong Kong Stock Exchange (SEKH) is one of Asia's leading... More and so it tracks the overall performance of the Hong Kong stock marketHow do stock markets work? A stock market is a financial ... More.
The index was first published in 1969 by HSI Services Limited, a subsidiary of the Hang Seng Bank.
The composition of the Hang Seng indexThe Hang Seng is the leading stock market index in Hong Ko... More is determined through analysis and external consultation. To qualify for listing, a company must display the following criteria:
- Be among those companies that together generate 90% of the total marketWhat are value stocks? A value company is a company that app... More value of all ordinary sharesWhat are value stocks? A value company is a company that app... More of companies trading in Hong Kong.
- Be among those that make up 90% of the total turnover on the Hong Kong Stock Exchange.
- Have a listing history of 24 months to fulfil the following criteria:
| Average Market Value Rank | Minimum Listing History |
|---|---|
| Top 5 | 3 months |
| 6 – 15 | 6 months |
| 16 – 20 | 12 months |
| 21 – 25 | 18 months |
| Below 25 | 24 months |
The final selection of the listed companies is then sorted in orderWhat is a trade order? In trading, an order can be defined... More according to the following criteria:
- Market capitalisation and turnover ranking
- Representation of the respective industry group
- Financial performance
Further reading
Hang Seng Index website
Hang Seng Index wikipedia
