Important Notes:
1) E Fund (HK) Solactive BIOPHARMA Select Index ETF (the “Sub-Fund”) is a sub-fund of E Fund ETFs Trust, an umbrella unit trust established under Hong Kong law. The Sub-Fund is a passively-managed ETF falling within Chapter 8.6 of the Code on Unit Trusts and Mutual Funds issued by the Securities and Futures Commission (the “SFC”). Units of the Sub-Fund (the “Units”) are traded on The Stock Exchange of Hong Kong Limited (the “SEHK”) like stocks. The investment objective is to provide investment results that, before fees and expenses, closely correspond to the performance of the Solactive BIOPHARMA Select Index (the “Index”).
2) Investment involves risks. The Fund is subject to a) Investment risk, b) Equity market risk, c) New Index risk, d) Geographical concentration risk, e) Political, economic and social risks in mainland China, f) Biopharmaceuticals sector concentration risk, g) Risk associated with small-capitalisation / mid-capitalisation companies, h) Securities lending transactions risk, i) Trading differences risk, j) Passive investments risk, k) Trading risk, l) Tracking error risk, m) Currency risk, n) Distribution out of/effectively out of capital risk, o) Reliance on market maker risk, p) Termination risk. The value of the Sub-Fund can be volatile and may go down substantially. Investors may suffer losses.
4) Distributions of the Sub-Fund may be paid out of the capital of the Sub-Fund. Investors should note that payment of distributions out of capital amounts to a return or withdrawal of part of an investor’s original investment or from any capital gains attributable to that original investment and such distributions will result in an immediate reduction of the net asset value of the relevant units.
5) The Sub-Fund is traded on the exchange at market price, which may be different from its net asset value. Offering documents of the Sub-Fund can be obtained from
https://www.efunds.com.hk/products/
6) The Index is a new index. The Index has minimal operating history by which investors can evaluate its previous performance. There can be no assurance as to the performance of the Index. The Sub-Fund may be riskier than other exchange traded funds tracking more established indices with longer operating history.
7) As the Sub-Fund's investments are concentrated in securities of Biopharmaceuticals companies in Hong Kong and the United States, and those companies may significantly be impacted by technological changes, increased governmental regulations and intense competition from competitors, the Sub-Fund is subject to sector and geographical concentration risks and its Net Asset Value is therefore likely to be more volatile than a broad-based fund.
8) You should not invest in the Sub-Fund unless the intermediary who sells it to you has explained to you that the Sub-Fund is suitable for you having regard to your financial situation, investment experience and objectives.
9) Investors should not invest in the Sub-Fund based on this document alone. Before making any investment decision, the investor should read the Sub-Fund’s offering documents carefully including the risk factors.
E Fund (HK) Solactive BIOPHARMA Select Index ETF (3186) Set to List
World's First ETF Spanning Top 100 BIOPHARMA Stocks in Hong Kong and US Markets
Capturing Global Innovation Dividends with Outstanding Index Performance
HONG KONG, March 23, 2026 – E Fund Management (Hong Kong) Co., Limited announced today that the E Fund (HK) Solactive BIOPHARMA Select Index ETF (Ticker: 3186) had officially listed on the Stock Exchange of Hong Kong on March 23, 2026. This ETF is the world's first and currently the only BIOPHARMA-themed ETF spanning both the Hong Kong and US stock markets, designed to provide investors with a convenient one-stop tool to capture long-term growth opportunities in the global biopharmaceutical industry.
World's First: Selects Top 100 Pharma Stocks in Hong Kong and the US
The E Fund BIOPHARMA ETF closely tracks the Solactive BIOPHARMA Select Index. This index selects 100 constituent stocks from Biopharmaceutical companies listed in Hong Kong and the United States, covering global innovation hubs including China, the US, Europe, Israel, Switzerland, and Japan. As of the latest index review date (March 5, 2026), the index comprises 65% Hong Kong-listed stocks and 35% US-listed stocks. It not only includes global top-tier pharma leaders and cutting-edge technology companies from the US market but also deeply captures the growth dividends of China, the world's second-largest pharmaceutical market.
This unique "Hong Kong + US dual-market" structure enables investors to simultaneously benefit from the US's R&D leadership advantages and China's high-efficiency, low-cost R&D dividends, mitigating single-market risks and truly achieving "global investment with one allocation."
Historical Performance Outperforms; Significant Resilience Advantage
According to data from Solactive and Bloomberg (as of February 9, 2026), the Solactive BIOPHARMA Select Index has demonstrated outstanding long-term performance. Since its base date on March 20, 2020, the index has accumulated a return of 140.31%. Its short-term resilience is even more remarkable, delivering a full-year return of 75.7% in 2025, significantly outperforming the Hang Seng Biotechnology Index and the S&P Biotechnology Select Index over the same period.
The above is an objective presentation of the historical performance of the underlying index. Past performance of the index does not indicate future performance and should not be construed as any investment advice. Investors should be aware of the risks associated with index fluctuations. Investors should note that the actual returns of the fund may differ from the index performance due to factors such as management fees and tracking difference.
Equal-Weight Allocation Focuses on Innovative Growth
Unlike traditional market-cap-weighted indices, the Solactive BIOPHARMA Select Index uses an equal-weight methodology, resulting in high individual stock diversification. This construction logic aligns particularly well with the characteristics of the biopharmaceutical industry, where disruptive innovation often originates from small and mid-sized companies, and the approval of a blockbuster drug can multiply market capitalization. The equal-weight strategy increases the portfolio's exposure to "breakthrough innovations" while effectively diversifying the tail risk of over-relying on a single giant.
Historical data validates the effectiveness of the equal-weight strategy: Bloomberg data shows that from May 30, 2014, to February 26, 2026, the S&P Biotechnology Select Index (equal-weight) in the US achieved an annualized return of 9.5%, outperforming the Nasdaq Biotechnology Index (market-cap weighted) which returned 7.6% over the same period.
Capitalizing on Dual Catalysts from Industry and Capital Flows
The global biopharmaceutical industry is benefiting from multiple catalysts. On the industry front, according to McKinsey & Company's forecast, dozens of key innovative drugs are expected to undergo critical clinical data readouts and regulatory approvals over the next 2-3 years, with continuous technological breakthroughs in areas like weight loss/metabolic disorders, oncology, and autoimmune diseases. On the capital front, the Federal Reserve has initiated a rate-cutting cycle, with expectations of two more rate cuts in 2026. Historically, Hong Kong and US BIOPHARMA assets have performed strongly during rate-cutting cycles, and highly elastic innovative drug assets stand to benefit.
E Fund Management (Hong Kong) Co., Limited stated that BIOPHARMA is a high-growth sector combining essential consumption attributes with innovative growth potential. The global trend of population aging provides a long-term demand foundation for the industry on a 10-to-20-year scale. The E Fund BIOPHARMA ETF (3186), with its scarce dual-market (Hong Kong+US) structure and scientific equal-weight methodology, offers investors an efficient tool for direct access to core global BIOPHARMA assets, helping to seize the pulse of the times and share in global innovation dividends.
Data Source Notes:
- As of March 5, 2026, the E FUND (HK) SOLACTIVE BIOPHARMA SELECT INDEX ETF (3186)is currently the world's only ETF covering biotech stocks from both the Hong Kong and U.S. stock markets; this statement may change if other similar products are launched; this statement does not include unlisted funds or private funds, source: Bloomberg.
- "Top 100" refers to the selection of 100 biopharmaceutical stocks from the Hong Kong and U.S. stock markets within the sample space, based on their free-float market capitalization ranking.
- Index constituent country/region distribution and weighting data source: Solactive, as of March 5, 2026.
- Index historical performance data source: Solactive, Bloomberg, as of February 9, 2026. Currency is HKD. Base date is March 20, 2020.
- Equal-weight construction data source: Solactive, as of March 5, 2026.
- Historical performance data for equal-weight strategy source: Bloomberg, statistical period May 30, 2014, to February 26, 2026.
About E Fund HK
E Fund Management (HK) Co., Ltd (“E Fund HK”) was established in 2008 and is licensed by the Securities and Futures Commission of Hong Kong to conduct Type 1 (Dealing in Securities), Type 4 (Advising on Securities) and Type 9 (Asset Management) regulated activities. E Fund HK is a wholly-owned subsidiary of E Fund Management Co., Ltd (“E Fund”). As the international business platform of E Fund, E Fund HK provides asset management services in fixed income, equity, index and alternative investment for investors all over the world. Its award-winning products have been recognized by leading institutions such as Morningstar, Lipper, Asian Investor and Benchmark.
Established in 2001, E Fund is a leading comprehensive fund manager in China with branch offices in Guangzhou, Beijing, Shanghai, Shenzhen, Hengqin, Hong Kong, etc. As of Dec 31, 2025, E Fund and its subsidiaries had over RMB 4.1 trillion (approx. USD 585 billion)* under management. E Fund and its subsidiaries hold various requisite qualifications for the provision of asset management business, including mutual fund, social security fund, pension insurance fund, corporate pension fund, segregated account, QDII and mutual fund investment advisory, QFII, RQFII, Stock Connect and offshore investment structures, offering investment management services across all major asset classes, including active equity, quant, index, fixed income, multi-asset, FOF and alternatives.
* Source: E Fund. AuM includes subsidiaries. Data as of Dec 31, 2025. FX rate is sourced from PBoC.
Index Provider Disclaimer
Solactive AG (“Solactive") is the licensor of Solactive Biopharma Select Index (the “Index”). The financial instruments that are based on the Index are not sponsored, endorsed, promoted or sold by Solactive in any way and Solactive makes no express or implied representation, guarantee or assurance with regard to: (a) the advisability in investing in the financial instruments; (b) the quality, accuracy and/or completeness of the Index; and/or (c) the results obtained or to be obtained by any person or entity from the use of the Index. Solactive does not guarantee the accuracy and/or the completeness of the Index and shall not have any liability for any errors or omissions with respect thereto. Notwithstanding Solactive’s obligations to its licensees, Solactive reserves the right to change the methods of calculation or publication with respect to the Index and Solactive shall not be liable for any miscalculation of or any incorrect, delayed or interrupted publication with respect to the Index. Solactive shall not be liable for any damages, including, without limitation, any loss of profits or business, or any special, incidental, punitive, indirect or consequential damages suffered or incurred as a result of the use (or inability to use) of the Index.
E Fund HK Disclaimer
Unless otherwise stated, E Fund Management (Hong Kong) Co., Limited is the issuer of the content of this content. This content is neither an offer nor solicitation to purchase units of the fund. Applications for units may only be made on forms of application available with the Explanatory Memorandum.
Investment involves risk. Fund value may go up and down. Past performance is not indicative of future performance. Investors should read carefully the Explanatory Memorandum (including the risk factors) for the relevant risks associated with the investment in the fund before investing.
Distribution of the content herein may be restricted in certain jurisdictions. This content does not constitute the distribution of any information in any jurisdiction in which such distribution is unlawful. This content has not been reviewed by the Securities and Futures Commission of Hong Kong.
SFC authorization is not a recommendation or endorsement of a scheme nor does it guarantee the commercial merits of a scheme or its performance. It does not mean the scheme is suitable for all investors nor is it an endorsement of its suitability for any particular investor or class of investors. Copyright 2026. E Fund Management (Hong Kong) Co., Limited.
