Hong Kong Exchanges & Clearing (0388)

Yup. Very good time to take a close look.

SEHK listed companies will retain single-class structure, as of now...

(not vested)

Hong Kong regulator slams exchange's proposal to change listing rules
25 Jun 2015 17:56
[HONG KONG] Hong Kong's securities regulator does not support a controversial proposal by the city's stock exchange operator to change the city's listing rules, the regulator said in a statement on its website on Thursday.

The Securities and Futures Commission (SFC) said its board had unanimously concluded it did not support the draft proposal put forward last Friday by Hong Kong Exchanges and Clearing Ltd (HKEx).

HKEx is proposing a review of the listing rule that gives each shareholders equal voting rights in a company. The rule last year led to the bourse losing the record US$25 billion IPO of Alibaba Group Holdings.

REUTERS
Source: Business Times Breaking News

Will it happen? The link may reduce the volatility of SZSE, IMO...


China seen delaying Shenzhen stock link until 2016 amid turmoil
10 Sep 2015 19:27
[TAIPEI] China will probably delay the start of a Shenzhen stock-exchange link until next year as authorities focus their efforts on stabilizing the mainland share prices in the wake of a $5 trillion selloff, according to analysts in a Bloomberg survey.

Ten of the 13 respondents said the link with Hong Kong is likely to be pushed back to 2016, while the rest predicted a start by year-end. China Securities Regulatory Commission Chairman Xiao Gang and Hong Kong Chief Executive Leung Chun-ying both said earlier this year that the connect may open in 2015.
...
BLOOMBERG

Source: Business Times Breaking News

LSE might get the direct link, earlier than SGX, based on the progress...

Hong Kong stock exchange proposes "London connect scheme"
22 Oct 2015 09:07
[HONG KONG] Hong Kong stock exchange has signed a non-binding memorandum of understanding for developing a clearing link between Hong Kong and London called the"London-Hong Kong Connect" The MOU was signed part of a series of cooperation initiatives announced in a ceremony led by Chinese President Xi Jinping and British Prime Minister David Cameron, the stock exchange said in a statement.

The two countries have signed a number of deals including a multi-billion dollar agreement to finance nuclear power stations in Britain.

REUTERS

Source: Business Times Breaking News

Hong Kong market is doing worst than Singapore market. Up to now, the P/B of STI is around 1.04, comparing with HSI's below 1.0

Hang Seng Index Sinks Below Net Assets for First Time Since 1998

Hong Kong stocks fell below the value of their net assets for the first time since 1998 as concerns over capital outflows and China’s economic slowdown sent the Hang Seng Index deeper into a bear market.
The benchmark gauge slumped 1.8 percent at the close, pushing its price-to-book ratio below one, a level unseen since the Asian financial crisis roiled regional markets and popped a domestic property bubble almost 18 years ago. The Hong Kong dollar traded near its weakest since August 2007, while benchmark money-market rates jumped to a more than six-year high.
...
http://www.bloomberg.com/news/articles/2...8-ijnvgtix

(06-06-2016, 11:08 AM)swang107 Wrote: For sharing. Not sure i posted in the right place though.

http://www.scmp.com/business/markets/art...e-listings

http://en-rules.hkex.com.hk/net_file_sto...l6813a.pdf

moved to HKSE thread

(25-06-2015, 08:24 PM)CityFarmer Wrote: SEHK listed companies will retain single-class structure, as of now...

(not vested)

Hong Kong regulator slams exchange's proposal to change listing rules
25 Jun 2015 17:56
[HONG KONG] Hong Kong's securities regulator does not support a controversial proposal by the city's stock exchange operator to change the city's listing rules, the regulator said in a statement on its website on Thursday.

The Securities and Futures Commission (SFC) said its board had unanimously concluded it did not support the draft proposal put forward last Friday by Hong Kong Exchanges and Clearing Ltd (HKEx).

HKEx is proposing a review of the listing rule that gives each shareholders equal voting rights in a company. The rule last year led to the bourse losing the record US$25 billion IPO of Alibaba Group Holdings.

REUTERS
Source: Business Times Breaking News

The "others" are doing it as well, means we must do it, else we lose out.

Regulator’s U-turn paves way for dual-class companies to raise funds in Hong Kong in pilot plan

Companies with multiple classes of shares among their shareholders may be allowed to raise capital in Hong Kong by the middle of 2018, as the city’s Securities&Futures Commission (SFC) backs away from its position on the “One Share, One Vote” principle, which has been a pillar of the local capital market since the 1980s.

http://www.scmp.com/business/companies/a...funds-hong

Laura Cha checks in as Hong Kong exchange’s first woman chief in its 127-year history
The newly elected chairman has made mapping a three-year strategic plan – to enhance the exchange’s competitiveness and fend off competition from other overseas exchanges – a priority

Enoch Yiu
PUBLISHED : Friday, 27 April, 2018, 7:16am
UPDATED : Friday, 27 April, 2018, 9:32am

To the millions of mainland investors frolicking in China’s go-go stock market of the early 2000s, given a kick start from the country’s membership in the World Trade Organisation, Laura Cha Shih May-lung was the killer regulator anointed by Beijing to crash the party.

Cha, whose married name rhymes with the Chinese word for inspection, soon earned the moniker of the regulator who would “inspect miscreants to their death”.

Even though her tenure as a vice-chairman at the China Securities Regulatory Commission (CSRC) from 2001 to 2004 drew mixed responses, it earned her a place in the history of China’s capital market development – the first Hongkonger and non-mainlander to take on a vice-ministerial position within the central government.

This week, the 68-year-old grandmother of three was elected unopposed as the first woman to chair Hong Kong Exchanges and Clearing (HKEX), the operator of the stock market, in the bourse’s 127 years of history.

More details in http://www.scmp.com/business/companies/a...ef-its-127

Bourse operator Hong Kong Exchanges and Clearing reports record net profit of HK$9.3 billion, beats estimates
* Net profit rises by 26 per cent over 2017
* Listing reform brought in higher number of mega flotations, bigger turnover

Enoch Yiu  
Updated: Wednesday, 27 Feb, 2019 6:51pm

Hong Kong Exchanges and Clearing, which operates the Hong Kong stock exchange, the third-largest bourse in Asia, on Wednesday reported a record net profit of HK$9.3 billion (US$1.18 billion) for last year, an increase of 26 per cent over 2017.

“HKEX has benefited from a rising turnover and this trend has continued this year. Its turnover has reached HK$170 billion on some days this week. This shows investment sentiment has improved, as many central banks, including the US Federal Reserve, have indicated a slow down in interest rate increases. This has led fund managers and other investors to put their money in equities,” said Ben Kwong Man-bun, a director at brokerage KGI Asia.

“The January data for China is also positive. The announcement of the ‘Greater Bay Area’ blueprint is also going to add more cross-border trading between the Hong Kong and mainland China markets, which will benefit HKEX. However, investors should beware. The share price of HKEX has risen substantially in recent months. I believe it will retreat a bit after hitting HK$290 per share,” he said.

Investment bank China International Capital Corporation was more bullish, raising its target price for HKEX shares from HK$310 to HK$345 in a report released on Tuesday, before the profit announcement.

HKEX shares fell 0.7 per cent on Wednesday to close at HK$268.

“HKEX will announce its 2019–2022 corporate strategy on February 28, which we see as a short-term catalyst that could push the stock price higher,” the report said.

HKEX chairwoman Laura Cha Shih May-lung said in a statement: “We are entering 2019 with more geopolitical and economic uncertainty than has been the case for many years. The resulting volatility could potentially lead to a further deterioration in investor sentiment and, ultimately, a global economic slowdown. Despite this, I am confident that we have a strongly positioned robust business with clear strategic goals.”

Hong Kong keeps glow as listing hub even as bear market looms, HKEX chief says

The profit for last year beat the HK$7.96 billion earned in 2015. The profit also beat a consensus forecast of HK$9.277 billion in net profit and 25.4 per cent growth by analysts polled by Bloomberg.

The bourse operator’s earnings per share stood at HK$7.5, up 24 per cent from a year earlier. The company said it would pay a second interim dividend of HK$3.07 per share, bringing its full-year dividend to HK$6.71, up 24 per cent from HK$5.4 in 2017.

More details in https://www.scmp.com/business/companies/...rts-record

Hong Kong to launch MSCI China A Index futures for global investors to hedge against risks in Asia’s largest stock market
* The MSCI China A Index comprises 421 large and mid-cap Chinese stocks denominated in yuan
* The launch, which does not have a date, would end Singapore Exchange’s monopoly on offshore derivatives based on China’s A shares

Enoch Yiu  
Published: 11:16am, 11 Mar, 2019

Hong Kong Exchanges and Clearing Limited (HKEX) has signed an agreement with MSCI to offer futures contracts on the MSCI China A Index, giving global investors a tool to hedge their investments in Asia’s largest equity market.

The index futures, which does not have a launch date, is part of the exchange operator’s three-year plan to transform itself into a global financial market place, by offering a greater variety of products, including exchange-traded funds (ETFs), futures and options, as well as commodity and currency contracts.

The new plan, which would end the monopoly by Singapore Exchange on offshore derivatives based on the A-share market, comes as the Chinese market has started experiencing some volatility.

The Shanghai Composite Index tumbled 4.4 per cent on Friday, the most since October, after some leading mainland brokerages suggested investors should sell some stocks with the biggest gains this year. Before the plunge, the Shanghai benchmark index had risen 25 per cent while Shenzhen was up 34 per cent in the first two months of trading.

More details in https://www.scmp.com/business/companies/...-investors