The **Hang Seng Index (HSI)** is a leading market capitalization-weighted stock market index that tracks the performance of the largest and most liquid companies listed on the Hong Kong Stock Exchange (HKEX). It serves as the premier benchmark for Hong Kong’s equity market, widely used by investors, analysts, and financial institutions globally to gauge the overall health and trends of the market[1][2][3].
The HSI was officially launched on **November 24, 1969**, conceived by Ho Sin Hang, the founding chairman of Hang Seng Bank, who envisioned it as a "Dow Jones Index for Hong Kong." Together with Lee Quo-wei and Stanley Kwan, the index began as an internal reference for Hang Seng Bank before becoming public[2][4]. Initially based on a total value of 100 points as of July 1964, the index has since grown significantly, crossing key milestones such as 10,000 points in 1993, 20,000 in 2006, and 30,000 in 2017[4].
The index currently consists of around **82–83 constituent stocks**, representing about 58% of the total market capitalization of the Hong Kong Stock Exchange. Its composition spans multiple sectors, with the financial sector having the largest weighting (approximately 33%), followed by consumer discretionary and information technology sectors. This diversification offers balanced exposure to Hong Kong’s economy[1][2].
HSI is compiled and maintained by **Hang Seng Indexes Company Limited**, a wholly owned subsidiary of Hang Seng Bank, itself controlled by HSBC Holdings plc. Apart from the main index, the company manages several other indices reflecting different segments of the market and sustainability themes[2].
The Hang Seng Index has played a pivotal role in the development of Hong Kong’s financial markets. It supports futures and options trading, introduced by the Hong Kong Futures Exchange in 1986, providing investors with effective tools for ris