-
Advertorial
-
FOCUS
-
Guide
-
Lifestyle
-
Tech and Vogue
-
TechandScience
-
CHTF Special
-
Nanshan
-
Futian Today
-
Hit Bravo
-
Special Report
-
Junior Journalist Program
-
World Economy
-
Opinion
-
Diversions
-
Hotels
-
Movies
-
People
-
Person of the week
-
Weekend
-
Photo Highlights
-
Currency Focus
-
Kaleidoscope
-
Tech and Science
-
News Picks
-
Yes Teens
-
Budding Writers
-
Fun
-
Campus
-
Glamour
-
News
-
Digital Paper
-
Food drink
-
Majors_Forum
-
Speak Shenzhen
-
Shopping
-
Business_Markets
-
Restaurants
-
Travel
-
Investment
-
Hotels
-
Yearend Review
-
World
-
Sports
-
Entertainment
-
QINGDAO TODAY
-
In depth
-
Leisure Highlights
-
Markets
-
Business
-
Culture
-
China
-
Shenzhen
-
Important news
在线翻译:
szdaily -> Markets -> 
Stock link with London poised to start this year
    2018-04-12  08:53    Shenzhen Daily

CHINA is aiming to start a stock trading tie-up between Shanghai and London this year, according to a top official, creating a system that would give investors in the world’s most populous country direct access to shares listed in Britain.

The timing was announced by People’s Bank of China Governor Yi Gang at a panel discussion during the Boao Forum for Asia yesterday, unveiled as part of a broader package of policies that will further open up the nation’s financial sector.

The program with London Stock Exchange Group would be the third system to give foreigners access to the mainland equity market, the world’s second biggest by value.

A link between Shanghai and Hong Kong started in November 2014 and a connect between Hong Kong’s stock exchange and Shenzhen’s bourse opened in December 2016.

Yi also said China would raise the daily limit for net buying to Hong Kong using the stock connects to 42 billion yuan (US$6.7 billion) from 10.5 billion yuan May 1. The daily northbound quota will be raised to 52 billion yuan from 13 billion yuan, he said. The system has seen the daily limit hit just three times: northbound Nov. 17, 2014, the day the Shanghai program started, and southbound April 8 and April 9, 2015.

Global index publisher MSCI Inc. will add around 230 large-cap Chinese stocks into its EM index. The index weighting will be small but some expect money flows from Hong Kong into the mainland via the stock connect program on those days may breach the daily quota.

An agreement for some sort of connection between London and Shanghai exchanges has been in the works since at least September 2015, when plans were disclosed during a visit to China by then-U.K. Chancellor of the Exchequer George Osborne. In November 2016, the London stock exchange and the Shanghai bourse agreed to “develop rules and implementation arrangements.”

While details of the program are yet to be revealed, Xavier Rolet, former chief executive officer of the London stock exchange, said in a November 2016 interview with the South China Morning Post that the link to London “would be completely different from the stock connect between Hong Kong and Shanghai.”

The system would be a “new concept of stock connect” that would allow Chinese investors to trade stocks listed in London outside of U.K. trading hours, he said. (SD-Agencies)

深圳报业集团版权所有, 未经授权禁止复制; Copyright 2010, All Rights Reserved.
Shenzhen Daily E-mail:szdaily@szszd.com.cn