---
title: "Southbound Capital Floods HK ETFs as Link REIT Readies Major Overhaul"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/294938409.md"
description: "Over HKD 60 billion in Southbound capital has poured into Hong Kong ETFs this month. Meanwhile, Link REIT is actively accelerating its asset disposal plan ahead of a potential Stock Connect inclusion."
datetime: "2026-08-05T09:12:28.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/294938409.md)
  - [en](https://longbridge.com/en/news/294938409.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/294938409.md)
generator: "portal-rs"
---

# Southbound Capital Floods HK ETFs as Link REIT Readies Major Overhaul

There is a massive liquidity shift quietly underway in Hong Kong's ETF and REIT sectors. I'm told that as local authorities accelerate talks to finally bring REITs into the Stock Connect program, mainland investors are front-running the news. Southbound capital has already parked over HKD 60 billion in net inflows during the first three weeks of July 2026 alone.

### Link REIT (0823.HK)

Link REIT has been gaining momentum in the broader market recently. From what I hear, this is shaping up to be the most significant portfolio overhaul for the fund in recent years. According to people familiar with the matter, Link is not only initiating share buybacks but also actively advancing the disposal of its UK office and mainland China logistics assets. With a new CEO taking the helm in July 2026, institutions like Citi and BofA have reiterated their buy ratings. If the Stock Connect inclusion materializes later this year, it could unlock substantial valuation recovery for the trust.

### CSOP Hang Seng Index ETF (3037.HK)

Driven by a broad rally in tech and EV sectors, the CSOP Hang Seng Index ETF has seen a notable uptick. I'm told that the sheer volume of these inflows suggests passive instruments are doing the heavy lifting in this recent market rebound, particularly as the Hang Seng Tech Index logged a nearly 8% gain in July. This massive Southbound capital injection underscores a renewed institutional appetite for baseline exposure.

### Also

-   **iShares Hang Seng Index ETF (3115.HK)**: There's growing chatter that the index's global underperformance is primarily due to a lack of AI and semiconductor weightings. The fund continues to lean on its dual HKD and RMB counters to attract offshore yuan liquidity.

*This article does not constitute investment advice.*

## Related News & Research

- [Cross-Border Capital Navigates Hong Kong's Diverging ETF and REIT Landscape](https://longbridge.com/en/news/290538803.md)

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> **Disclaimer: This article is for reference only and does not constitute any investment advice.**