Tue Jan 21 17:30:00 IST 2025: ## Nio Poised for Hang Seng Index Inclusion Despite Weak Stock Performance
**HONG KONG –** Electric vehicle maker Nio (NYSE: NIO, HKG: 9866) is expected to be added to the prestigious Hang Seng Index, according to a note from Chinese brokerage CICC. The inclusion, to be announced Friday and implemented March 10th, would boost Nio’s profile and attract significant passive investment. While Nio’s stock price declined by 53% in Hong Kong in 2024, the Hang Seng Index itself rose 18%.
CICC analysts predict Nio’s inclusion based on market capitalization and industry position, although past predictions for other companies haven’t always materialized. The addition would significantly impact the substantial sums invested in ETFs tracking the Hang Seng Index, which total approximately $27.53 billion, along with those tracking the Hang Seng China Enterprises and Hang Seng Tech Indices. Nio was already added to the Hang Seng Composite and Hang Seng Technology Indices in June 2022.
The Hang Seng Index, established in 1969, is a key indicator of Hong Kong’s stock market performance. The inclusion of Nio, despite its recent stock struggles, highlights the index’s evolving composition. The news comes amidst other developments in the electric vehicle sector, with Chery Automobile planning to launch models using Nio’s battery swap technology in the third quarter.
First Piper 