Trading ArrangementTo facilitate Hong Kong and overseas investors trading in SSE Securities through Shanghai-Hong Kong Stock Connect (ie Northbound trading), SEHK will establish SEHK Subsidiary in Shanghai, whose principal function will be to receive orders to trade in SSE Securities from EPs and route them onto SSE’s trading platform for matching and execution on SSE.
Investor and Participant EligibilityAll Hong Kong and overseas investors are allowed to trade SSE Securities through Shanghai-Hong Kong Stock Connect.
Eligible StocksOnly Shanghai A shares will be included in Shanghai-Hong Kong Stock Connect in the initial stage. Hong Kong and overseas investors will be able to trade certain stocks listed on the SSE market (ie SSE Securities). These include all the constituent stocks of the SSE 180 Index and SSE 380 Index, and all the SSE-listed A shares that are not included as constituent stocks of the relevant indices but which have corresponding H shares listed on SEHK, except the following:
(a) SSE-listed shares which are not traded in RMB; and
(b) SSE-listed shares which are included in the “risk alert board”.
QuotaThe Northbound Aggregate Quota is set at RMB300 billion.
The Northbound Daily Quota is set at RMB13 billion.
Trading HoursNorthbound trading will follow SSE’s trading hours. However, SEHK will accept Northbound orders from EPs five minutes before the Mainland market session opens in the morning and in the afternoon.
- 09:20-09:25: SSE will not accept order cancellation;
- 09:10-09:15; 09:25-09:30; 12:55-13:00: Orders and order cancellations can be accepted by SEHK but will not be processed by SSE until SSE’s market open;
- Orders that are not executed during the opening call auction session will automatically enter the continuous auction session.
HolidayInvestors will only be allowed to trade on the other market on days where both markets are open for trading, and banking services are available in both markets on the corresponding settlement days.
Trading CurrencyHong Kong and overseas investors will trade and settle SSE Securities in RMB only.
Order TypesFor Northbound trading, only limit orders (SSE limit orders can be matched at the specified or better price) will be accepted for SSE Securities throughout the day.
Price LimitFor SSE Securities, there is a general price limit of ±10% (and ±5% for stocks under special treatment (ie ST and *ST stocks) in the risk alert board) based on previous closing price.
All orders input for SSE Securities must be at or within the price limit. Any orders with price beyond the price limit will be rejected by SSE. The upper and lower price limit will remain the same intra-day.
Dynamic Price CheckingDuring Opening Call Auction, the current bid (or previous closing price in the absence of the current bid) will be used for price checking of Buy orders. Dynamic price checking will be applied throughout the trading day, from the 5-minute input period before the start of Opening Call Auction until the end of the afternoon Continuous Auction.
SEHK intends to set the dynamic price checking at 3% during the initial phase of Shanghai-Hong Kong Stock Connect. The percentage may be adjusted from time to time subject to market conditions.
Stock CodeThe stock codes of SSE Securities are six digits and investors should use SSE stock codes when placing orders.
Board Lot/Odd LotBuy orders: 100 shares
Sell orders: Odd lot trading is allowed, however, all odd lot must be sold in one order
Unlike Hong Kong, board lot and odd lot orders are both matched on the same platform on SSE, and subject to the same share price.