Hong Kong Surpasses Korea in Structured Note Boom, JPMorgan Says

A surging Hong Kong market has led to a boom in structured products linked to the city’s equities, so much so that it’s overtaken issuance from Japan and Korea, according to JPMorgan Chase & Co.

Structured products tied to the biggest single stocks listed in Hong Kong, including Alibaba Group Holding Ltd. and Tencent Holdings Ltd., have emerged as the “new anchor” of regional volatility supply, “significantly” outpacing index-linked issuance this year, strategists including Tony Lee wrote in a note dated Friday.