Core Viewpoint - Hong Kong Exchanges and Clearing Limited (HKEX) emphasizes its commitment to strategic investments to maintain global competitiveness, particularly in enhancing data platforms and upgrading trading and settlement systems [1] Group 1: Strategic Investments - HKEX's CEO, Charles Li, stated that the company will not hesitate to increase capital expenditures to optimize data platforms and upgrade trading and settlement systems [1] Group 2: Trading Hours and Market Adaptation - In response to discussions about extending trading hours, HKEX is considering a cautious and gradual approach, taking into account international peers' experiences and local market conditions [1] - The implementation of extended trading hours will depend on the upgrade of trading systems, improvement of risk management frameworks, and maturity of regulatory structures [1] Group 3: Settlement Cycle Discussions - HKEX is actively engaging with market participants to explore the possibility of shortening the settlement cycle for the cash market [1] - The technical systems of HKEX are expected to support a T+1 settlement cycle by the end of this year, but the actual implementation will require feedback from various market participants [1]

Investment Rating - The report maintains a "Buy" rating for the company [2][17] Core Views - The company reported strong performance in 1H25, with total revenue reaching HKD 14.08 billion, a year-on-year increase of 33%. Main revenue was HKD 12.95 billion, up 34% year-on-year, and net profit was HKD 8.52 billion, up 39% year-on-year [5][7] - The report highlights that the company achieved record high revenue and net profit for the same period, driven by strong trading volumes and a resurgence in IPO activities, positioning it back at the top of the global IPO rankings [5][7] - The report projects an increase in net profit for 2025-2027, with estimates of HKD 16.93 billion, HKD 17.94 billion, and HKD 18.78 billion respectively, reflecting year-on-year growth rates of 30%, 6%, and 5% [6][7] Financial Data and Earnings Forecast - The company’s revenue is forecasted to grow from HKD 20.52 billion in 2023 to HKD 29.86 billion in 2027, with a compound annual growth rate (CAGR) of approximately 8% [6][8] - The net profit is expected to increase from HKD 11.86 billion in 2023 to HKD 18.78 billion in 2027, with a CAGR of around 9% [6][8] - The report indicates a significant improvement in EBITDA margin, projected to reach 79% in 1H25, up 6 percentage points year-on-year [5][7] Revenue Breakdown - The revenue breakdown for 1H25 shows that trading fees contributed HKD 4.91 billion (38%), settlement and clearing fees contributed HKD 3.16 billion (24%), and investment income contributed HKD 2.88 billion (22%) [7] - The report notes that all business segments, except for market data fees, achieved double-digit year-on-year growth, with trading fees and settlement fees increasing by over 40% [7] Market Performance - The average daily trading (ADT) for cash stocks in 2Q25 was HKD 220.3 billion, a year-on-year increase of 97%, while the average daily volume (ADV) for derivatives decreased [7] - The report emphasizes the strong performance of the IPO market, with 44 new listings in 1H25 raising HKD 109.4 billion, an eightfold increase compared to the same period last year [7]

Core Viewpoint - The Hong Kong Stock Exchange (HKEX) is considering implementing a 24-hour trading mechanism five days a week, which could significantly stimulate broker stocks and the exchange itself, especially in light of the recent performance of Hong Kong securities ETFs, which have surged over 64% this year [1][6]. Group 1: Trading Mechanism and Market Changes - HKEX CEO Charles Li mentioned the cautious and gradual approach to extending trading hours, taking into account international experiences and local market conditions [3]. - The exchange is also exploring shortening the settlement cycle for the cash market, with a potential T+1 settlement system supported by its technology by the end of this year [3]. - A recent adjustment to the minimum price fluctuation for stocks in specific price ranges is expected to lower trading costs and enhance trading efficiency [4]. Group 2: Broker Stocks Outlook - The anticipated 24-hour trading mechanism could provide strong positive stimulation for both HKEX and brokerage firms in the short term [6]. - The Hong Kong securities ETF has shown impressive growth, with a 64% increase this year and over 44% last year, indicating a robust market environment for broker stocks [6]. - Analysts believe that A-share broker stocks still have revaluation opportunities, particularly as the equity market continues to improve [6]. Group 3: Valuation and Investment Potential - As of the end of Q2, the A-share brokerage sector is underweighted by 2.67%, while the Hong Kong sector is underweighted by 0.52%, suggesting potential for increased institutional investment [7]. - Current price-to-book ratios for A-share and Hong Kong brokerages are at 1.66x and 1.17x respectively, indicating they are not significantly overvalued compared to historical levels [7][8]. - The average dividend yield for major brokerages in A-share and Hong Kong is projected at 2.3% and 3.0% respectively, highlighting their relative investment value [8].

Core Insights - Hong Kong Stock Exchange (HKEX) reported record high interim results for the first half of 2025, with revenue and other income reaching HKD 14.076 billion, a 33% year-on-year increase, and shareholder profit rising 39% to HKD 8.519 billion [1] - The CEO of HKEX highlighted strong performance across various markets, including spot and derivatives, with significant increases in trading volumes and a resurgence in the IPO market [1][4] Revenue and Profit Growth - HKEX's core business revenue increased across the board, with main business revenue reaching HKD 12.954 billion, up 34% year-on-year, driven by record trading volumes in the spot and stock options markets [1] - The interim dividend was set at HKD 6.00 per share, reflecting a 38% increase compared to the previous year [1] Trading Volume Surge - The average daily trading volume in the securities market surged to HKD 240.2 billion, a remarkable 118% increase year-on-year, fueled by favorable market conditions and increased participation from international and mainland investors [2] - Northbound and southbound trading through the Stock Connect reached historical highs, with the Hong Kong Stock Connect averaging HKD 111 billion daily, a 196% increase year-on-year [2] IPO Market Recovery - The IPO market in Hong Kong saw a strong comeback, with 44 companies listed in the first half of 2025, raising a total of HKD 109.4 billion, a staggering increase of over 700% year-on-year [4] - Notably, CATL's IPO raised HKD 41 billion, marking the largest IPO in Hong Kong since February 2021 and the largest globally in 2023 [4] Listing Applications and Regulatory Changes - The number of listing applications being processed by HKEX surged to 207 by June 30, 2025, more than double the 84 applications at the end of 2024 [5] - HKEX and the Hong Kong Securities and Futures Commission launched a "Tech Company Fast Track" to attract more tech and biotech firms to list, allowing confidential submissions of applications [5][6] Future Outlook - HKEX plans to implement measures to enhance market competitiveness, including shortening the settlement cycle for the cash market and expanding paperless listing mechanisms [6]

Core Viewpoint - The Hong Kong Stock Exchange (HKEX) is committed to strategic investments to maintain global competitiveness, focusing on optimizing data platforms and upgrading trading and settlement systems [1] Group 1: Strategic Investments - HKEX will not hesitate to increase capital expenditure, particularly in areas such as data platform optimization and trading settlement system upgrades [1] Group 2: Trading Hours Extension - The CEO mentioned the ongoing discussions regarding the extension of trading hours, noting that Nasdaq plans to implement a 24-hour trading mechanism by the second half of 2026 [1] - HKEX will adopt a cautious and gradual approach, studying international experiences while considering local market conditions before making changes [1] Group 3: Settlement Cycle - HKEX is actively engaging with market participants to discuss shortening the settlement cycle for the cash market [1] - The technical systems of HKEX will support a T+1 settlement cycle by the end of this year, but the implementation will depend on feedback from various market participants [1]

Core Viewpoint - Hong Kong Stock Exchange (HKEX) emphasizes strategic investment to maintain global competitiveness, particularly in data platform optimization and trading settlement system upgrades [1] Group 1: Strategic Investments - HKEX's CEO, Charles Li, stated that the company will not hesitate to increase capital expenditure to enhance its competitive edge [1] - The focus areas for investment include optimizing data platforms and upgrading trading settlement systems [1] Group 2: Trading Hours and Market Practices - Regarding the extension of trading hours, HKEX is observing Nasdaq's plan to implement a 24-hour trading mechanism by the second half of 2026 [1] - HKEX will adopt a cautious and gradual approach, studying international peers' experiences while considering local market conditions [1] - The process of extending trading hours will depend on the upgrade of trading systems, improvement of risk management frameworks, and maturity of regulatory frameworks [1] Group 3: Settlement Cycle Discussions - HKEX is actively discussing the possibility of shortening the settlement cycle for the cash market [1] - The technical systems of HKEX are expected to support a T+1 settlement cycle by the end of this year, but the implementation will require feedback from various market participants [1]

港交所行政总裁陈翊庭表示，港交所今年开局良好。现货市场、衍生产品市场及沪深港通的成交量均创 半年新高。 陈翊庭称，香港新股市场在今年延续强劲增长，上半年集资额居全球首位。期内共迎来44家上市公司， 新股集资总额达1094亿元，同比增长716%。准备来香港上市的公司络绎不绝，截至今年6月30日，正在 处理的上市申请逾200宗。香港仍是中国内地企业首选的国际融资市场，国际发行人对于在香港市场上 市融资的兴趣亦有所增加。(完) 8月20日， 香港交易及结算所有限公司在港公布2025年中期业绩报告。 中新社记者 戴小橦 摄 中新社香港8月20日电 (记者 戴小橦)香港交易及结算所有限公司(港交所)20日在港公布的2025年中期业 绩报告显示，港交所今年上半年收入及其他收益和溢利创历来同期新高。 报告数据显示，港交所今年上半年收入及其他收益为140.76亿元(港元，下同)，同比增长33%；股东应 占溢利为85.19亿元，同比增长39%。主要业务收入同比增长34%至129.54亿元，主要得益于现货及股票 期权市场成交量创历来半年度新高、存管费用增加以及保证金规模增加令投资收益净额上升等因素。 ...

Group 1 - Hong Kong Stock Exchange (HKEX) CEO Charles Li stated that there is no established position on 24-hour trading, emphasizing the need for public consultation and analysis of potential risks and pressures associated with such a change [1] - HKEX has completed over 50 IPO applications since launching the technology company listing channel in May, raising nearly $17 billion, positioning Hong Kong as a leading global IPO market [1][3] - The number of companies currently applying for IPOs in Hong Kong stands at 230, indicating a strong market interest [1] Group 2 - HKEX COO Liu Bi-yin highlighted that many markets, including the UK and EU, are expected to transition to a "T+1" settlement cycle by the end of 2027, with 88% of global trading potentially adopting this cycle [2] - HKEX plans to consult the market on adjusting the trading unit size by the end of this year, with current trading units reaching up to 40 types [2] - HKEX reported record high revenue and profit for the first half of 2025, with revenue and other income at HK$14.076 billion, a 33% increase year-on-year, and shareholder profit at HK$8.519 billion, a 39% increase [2] Group 3 - The average daily trading volume in the cash market, derivatives market, and Stock Connect reached a new high, with an average daily trading amount of 240.2 billion yuan, a year-on-year increase of 118% [3] - The Hong Kong IPO market continued its strong growth in 2025, with a total fundraising amount of HK$109.4 billion, a 716% increase year-on-year, and 44 new companies listed [3] - Contemporary Amperex Technology Co., Ltd. (CATL) raised HK$41 billion in May 2025, marking the largest IPO in Hong Kong since February 2021 and the largest globally in 2023 [3]

Group 1 - The CEO of Hong Kong Stock Exchange (HKEX) stated that there is no established position on 24-hour trading and emphasized the need for public consultation while considering the potential risks and pressures associated with such a change [1] - Since the launch of the technology company listing channel in May, HKEX has completed over 50 IPO applications, raising nearly $17 billion, leading the global IPO rankings [1][2] - The CEO mentioned that there are currently 230 companies in the pipeline for IPO applications, indicating that Hong Kong remains the preferred international financing market for mainland enterprises [1] Group 2 - The Chief Operating Officer highlighted that many markets, including the UK and EU, are expected to transition to a "T+1" settlement cycle by the end of 2027, which would result in 88% of global trading adopting this cycle [2] - HKEX plans to consult the market on adjusting the trading unit size by the end of this year, as there are currently up to 40 different trading unit sizes [2] - HKEX reported record high revenue and profit for the first half of 2025, with revenue and other income reaching HK$14.076 billion, a 33% increase year-on-year, and a shareholder profit of HK$8.519 billion, up 39% [2] Group 3 - The average daily trading volume in the cash market, derivatives market, and Stock Connect reached a six-month high, with an average daily trading amount of CNY 240.2 billion, a year-on-year increase of 118% [3] - The Hong Kong IPO market continued its strong growth in 2025, with a total fundraising amount of HK$109.4 billion, a 716% increase year-on-year, and 44 new companies listed during the period [3] - The listing of CATL in May 2025 raised HK$41 billion, marking the largest IPO in Hong Kong since February 2021 and the largest globally in 2023 [3]

Group 1 - The core viewpoint of the article emphasizes the Hong Kong Stock Exchange's commitment to strategic investments to maintain global competitiveness, particularly in optimizing data platforms and upgrading trading and settlement systems [1] - The CEO of the Hong Kong Stock Exchange, Charles Li, addressed the topic of extending trading hours, noting that the exchange will adopt a cautious and gradual approach, learning from international peers while considering local market conditions [1] - The Hong Kong Stock Exchange is actively discussing shortening the settlement cycle for the cash market, with its technical systems expected to support a T+1 settlement cycle by the end of this year, although the implementation will depend on feedback from market participants [1]