Is it worth it to subscribe to IPOs? ie. Lion-OCBC Securities China Leaders ETF

HST focus on tech stocks and YYY more the general China stocks. If you are bullish on China in general, YYY can be a better fit than HST. Of course you can invest in both to capture the general and tech-specific trends in China stock market.

HST listed back in December 2020 at HKD 7.75 or SGD 1.33. Just looking at HST and its performance since IPO, since then its has dipped below SGD 1.33 on a few occasions and is currently trading below IPO levels.

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Then again, it really depends on how you intend to structure your trading strategy. If you intend to DCA into it monthly, then it doesn't really matter when you purchase the stock. But if you do decide to employ a one-time buy and hold strategy, then you might want to consider waiting for the IPO-hype to die down and perhaps HST recovering slightly before heading in.

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Truth be told, the situation for China / HK stocks doesn't look too rosy at the moment, more so to those that are dual-listed. The investigations and harsh verdicts / actions the government is taking to clamp down any potential security breaches isn't helping the companies prices.

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Lion-OCBC Securities China Leaders ETF tracks the HSC80 index. Plotting the HSC80 against HST, one can see there is a correlation in terms of movement though HSC80's movement is rather subdued as compared to HST's (mainly due to a lower composition of tech stocks - 16.5%). That being said, China/HK stocks are really undervalued as compared to US stocks, I too believe they will recover in due course. Just gotta be patient.