Can I subscribe for SZSE Securities initial public offering (“IPO”)??
No, Northbound trading investors cannot participate in SZSE’s IPO activities.
What is the settlement arrangement for Northbound Trading?
Until special banking arrangements are established, investors will only be allowed to trade on the other market on days where Hong Kong and Mainland markets are both open for trading, and banking services are available in both Hong Kong and Mainland markets on the corresponding settlement days. This arrangement is essential in ensuring that investors and brokers will have the necessary banking support on the relevant settlement days when they will be required to make payments.
If a Northbound trading day is a half trading day in the Hong Kong market, Northbound trading will continue until respective SZSE market is closed. Please refer to the HKEX website for the Northbound trading calendar for Shenzhen Connect Northbound trading.
What is the trading arrangement for Northbound Trading?
|
Trading Arrangement |
Shenzhen Connect |
|
Trading Currency |
Use RMB for trading and settlement |
|
Order Type |
Limit order |
|
Price Limit |
price limit of ±10% (and ±5% for |
|
Trading Board Lot Size |
100 shares |
|
Maximum Order Size |
1 million shares |
|
Tick Size |
RMB 0.01 |
|
Stock Settlement Day |
T day |
|
Money Settlement Day |
T+1 day |
|
Turnaround Trading |
Not allowed |
|
Block Trades |
Not allowed |
|
Margin Trading |
Allowed |
|
Initial Public Offering Subscription |
Not allowed |
What is the charge for trading and settling SZSE Securities?
Under Shenzhen Connect, Hong Kong and overseas investors will be subject to the following fees and levies imposed by SZSE, China Securities Depository and Clearing Corporation (“ChinaClear”), Hong Kong Securities Clearing Company Limited (“HKSCC”_) or the relevant Mainland authority when they trade and settle SZSE Securities:
China Shenzhen A shares (Shenzhen-Hong Kong Stock Connect) (RMB)
Item |
Rates |
Charged by |
|
Brokerage Fee |
0.15% |
Min. RMB 50.00 |
|
Handling Fee |
0.00487% of the consideration of a transaction per side |
SZSE |
|
Securities Management Fee |
0.002% of the consideration of a transaction per side |
China Securities Regulatory Commission (“CSRC”) |
|
Transfer Fee |
Charged by ChinaClear Shenzhen Charged by HKSCC |
|
|
Stamp Duty |
0.1% of the consideration of a transaction on the seller |
State Administration of Taxation (“SAT”) |
|
Dividend tax*** |
TBC |
SAT |
Will the investment made under Shenzhen Connect be protected by Hong Kong’s Investor Compensation Fund?
Current Investor Compensation Fund will not cover any Northbound/Southbound activities.
How can investors obtain the latest issuers announcements of SZSE?
All approved corporate actions of SZSE securities are announced by issuers through the SSE website or the SZSE website, as the case may be, and officially appointed newspapers (both the printed papers and their websites): the Shanghai Securities News, Securities Times, China Securities Journal, Securities Daily and www.cninfo.com.cn. Investors are reminded that issuers listed on the ChiNext market are required to publish certain corporate announcements on their corporate websites and the officially appointed websites only.
Hong Kong and overseas investors can also visit HKEX website’s China Stock Markets Web for the company announcements of Shenzhen Connect securities issued on the previous trading day.
