CSOP Lists KOSPI 200 Covered Call Active ETF in Hong Kong

CSOP Asset Management’s KOSPI 200 Covered Call Active ETF (ticker: 3537.HK) has begun trading on the Hong Kong Stock Exchange. The fund obtains exposure to the KOSPI 200 Index through futures contracts and sells call options on the index to collect option premiums.

The ETF uses a synthetic representative sampling strategy to replicate KOSPI 200 exposure via KOSPI 200 futures and writes call options on the index to generate income. It listed at about HKD7.8 per unit, trades in lots of 100 units and charges a 0.99% management fee. The fund intends to make monthly distributions primarily funded by the collected option premiums.

Market data cited by CSOP show elevated volatility in the Korean index, with annualised KOSPI 200 volatility at 60.1% and the covered call strategy on the index returning 25.4% year-to-date in 2026. Global quarterly net inflows into KOSPI 200 covered call ETFs reached about KRW2 trillion (roughly HKD10.5 billion) in the first quarter of 2026. In Hong Kong, covered call ETFs recorded net inflows of HKD22.6 billion so far this year. CSOP’s HSCEI Covered Call Active ETF (2802.HK) attracted HKD10.3 billion and has built assets under management of HKD9.1 billion.

CSOP highlighted its derivatives activity in a statement, noting: “At CSOP Asset Management, our USD34.8 billion in derivatives exposure reflects our extensive derivatives management capabilities. 3537.HK offers investors professionally managed access to a covered call strategy, without the complexity of managing options positions themselves.”

Ding Chen, CSOP’s chief executive officer, commented: “Building on the success of CSOP HSCEI Covered Call Active ETF (2802.HK), which has amassed an AUM of HKD9.1 billion within just a few months, we are proud to introduce CSOP KOSPI 200 Covered Call Active ETF (3537.HK). This ETF provides investors with another income-oriented solution that aims to deliver monthly distributions and enhance portfolio resilience amid volatility in the Korean market.”

A covered call strategy combines a long exposure to an asset with the sale of call options on that asset. In this ETF, futures provide the long exposure while written call options generate premium income. Option premiums generally rise when market volatility increases. If a written call is exercised, the ETF’s upside on that exposure is capped at the option strike.