Hang Seng Indices Announces Authorization of the World's First Stock Warrant Linked to Hang Seng Biotech Index

Zhitong Finance App learned that on September 9, Hang Seng Index announced that it authorized Kenanga Investment Bank Berhad to launch the world's first stock warrants linked to the Hang Seng Biotech Index in Malaysia, marking an important step for Hang Seng Index in overseas index licensing and product development.

This cross-market cooperation was also showcased at the 11th “Belt and Road Summit” jointly organized by the Hong Kong Special Administrative Region Government and the Hong Kong Trade Development Council, and was listed as one of more than 30 business cooperation cases, reflecting the growing demand for Hong Kong index-linked products expanding into the “Belt and Road” market and deepening the connectivity between Hong Kong and Malaysian capital markets.

The Hang Seng Biotech Index tracks the 30 biotech companies listed in Hong Kong with the largest market capitalization and eligible for Southbound Hong Kong Stock Connect trading. The index has become an important benchmark for reflecting innovation and development in the biotechnology sector.

As of August 31, 2026, the Hang Seng Biotech Index has increased 98.5% over the past two years. Futures linked to the Hang Seng Biotech Index were launched last year, further expanding the index's product ecosystem. On August 20, 2026, Hang Seng Biotech Index futures reached a new high of 1,414 contracts in a single day, reflecting the growing demand for biotech investment in the market.

He Lizhi, the “Belt and Road” commissioner of the Hong Kong Special Administrative Region Government, said, “I am very happy to witness all the cooperation reached today. As a 'super contact', 'super value-added person' and a 'Belt and Road' resource coordination hub, Hong Kong connects enterprises with international capital to help expand the Belt and Road market. By pioneering more sustainable and inclusive financial solutions, we aim to accelerate high-quality cooperation, promote deeper integration, shared prosperity, and build a more resilient future for all participating economies.”

Muzambli Markam (Muzambli Markam), Consul General of Malaysia in the Hong Kong Special Administrative Region and Macau Special Administrative Region, said: “We are delighted to see Kenanga Investment Bank Berhad reach this milestone in cooperation with Hang Seng Index. Malaysia is actively promoting the 2030 New Industrial Blueprint and strengthening its high-value-added healthcare and biotech ecosystem. This partnership is in line with our national vision to expand innovative technology and cross-border financial products. By connecting Malaysian investors with Hong Kong's world-class indices and capital markets, we are promoting deeper economic integration while highlighting Malaysia's role as a vibrant investment destination in the region.”

Li Wenlong, executive chairman of Hang Seng Index Company, said, “Biotechnology is a strategic pillar industry of the country's 15th Five-Year Plan, and it is also the focus of Hong Kong's innovation and technology development strategy. We are honored to support the development of this industry through the Index Program. The launch of the world's first warrants linked to the Hang Seng Biotech Index provides global investors with more index-linked tools and helps us develop the Hang Seng Biotech Index into another flagship index. By expanding the index to overseas markets, we are deepening connectivity between Hong Kong and Malaysia and promoting capital flows across the Belt and Road markets. We will continue to strengthen overseas cooperation, expand the index's international influence, and reinforce Hong Kong's role as a super contact.”