Hang Seng rally locks Nippon India Hang Seng BeES in upper circuit as optimism grows for Asian markets

The Nippon India Hang Seng ETF has given returns of around 34.2 percent for a one year period, compared to around 3.5 percent and 2.8 percent for a 3 and 5 year period. The ETF currently has an NAV (as of October 3) Rs 325.45 and the fund size is around Rs 525.53 crore.

The Nippon India Hang Sang Bees ETF was locked in upper circuit on October 4, as per latest NSE data. When an ETF is locked in the upper circuit with no buyers, it means the ETF has hit its maximum allowable price increase for the day.

The ETF hit a 52-week high on October 3 at Rs 390.75. At 1:35 pm on October 4, the ETF was trading at Rs 390.54, with currently no sellers. Indian investors seem to be maintaining a wait and watch policy with regards to the rally in these markets, holding on to their position on the back of optimism for continued rise in the price. The ETF has gained around 20.7 percent over the last one week on the back of a rally in across Asian markets.

Over the last five days, the Hang Sang Index has gained around 10 percent and is currently trading at 22,741.35. Last week, China's central bank recently lowered interest rates and injected liquidity into the banking system as Beijing announced a stimulus package in order to help pull economic growth back towards this year's 5 percent target. Both China and Hong Kong markets have been reaping benefits of these announcements. Shanghai Composite Index saw the stock prices of around 37 companies soar by over 1000 percent, while more than 200 companies gained between 40-87 percent. Similarly, on the Hang Seng Index, 19 companies recorded gains of 50-100 percent, and 50 companies rose by 10-40 percent.

The Nippon India Hang Seng ETF has given returns of around 34.2 percent for a one year period, compared to around 3.5 percent and 2.8 percent for a 3 and 5 year period.  The ETF currently has an NAV (as of October 3) Rs 325.45 and the fund size is around Rs 525.53 crore.

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