Core Viewpoint - Hong Kong Stock Exchange (HKEX) reported record high revenue and profit for the first half of 2025, driven by a significant market recovery and a strong IPO pipeline [1][2]. Group 1: Financial Performance - HKEX's revenue and other income for H1 2025 reached HKD 14.076 billion, a 33% increase compared to H1 2024 [1] - Shareholder profit for H1 2025 was HKD 8.519 billion, up 39% from H1 2024 [1] - Daily trading volume in the cash market hit a half-year record, doubling compared to H1 2024 [1] Group 2: IPO Activity - HKEX completed over 50 IPOs in the first half of 2025, raising nearly USD 17 billion, maintaining a leading position globally [2] - There are currently around 230 companies in the IPO pipeline, indicating strong demand for listings [2] - The relationship between HKEX and mainland exchanges is characterized as complementary, with mutual benefits expected from the resurgence of IPOs in mainland China [2] Group 3: Investment Trends - Global investors are increasingly looking to diversify into Asian markets, particularly China, which is seen as a favorable investment opportunity [4] - High foreign participation in IPOs, especially among cornerstone investors, reflects strong interest from international capital [4] Group 4: Technology and Confidentiality - HKEX has seen 50 new applications from companies under the technology special listing regime, encouraging innovation [5] - The introduction of confidential submission for certain companies allows sensitive information to be protected during the approval process, ensuring transparency at the time of public offering [5] Group 5: Trading Hours and Market Accessibility - There is ongoing discussion about the potential for 24-hour trading to enhance market accessibility, though careful analysis is required to manage risks and operational pressures [6] - HKEX has been optimizing trading calendars and processes to improve service to the market, indicating a commitment to enhancing trading efficiency [6]

Group 1 - The Hong Kong Stock Exchange (HKEX) is actively discussing the shortening of the settlement cycle for the cash market, with plans to support a T+1 settlement cycle by the end of this year [1] - HKEX CEO Charles Li noted the ongoing discussions regarding extending trading hours, referencing Nasdaq's plan to implement a 24-hour trading mechanism five days a week by the second half of 2026 [1] - The company will adopt a cautious and gradual approach, taking into account international experiences while considering local market conditions, with system upgrades and risk management frameworks being prerequisites for this process [1] Group 2 - Since the launch of the "Tech Company" special line, HKEX has received applications for IPOs from 50 companies under Chapter 18A and Chapter 18C listing rules [1]

Core Viewpoint - The Hong Kong Stock Exchange (HKEX) has reported record-high performance in the first half of 2025, driven by a significant market recovery and a robust IPO pipeline, showcasing the effectiveness of its diversification strategy and strategic focus [2][3]. Group 1: IPO Trends - HKEX completed over 50 IPOs in the first half of 2025, raising nearly $17 billion, maintaining its leading position globally in IPO rankings [3]. - The IPO pipeline remains strong with approximately 230 companies currently in line for listing, indicating a healthy market environment [3]. Group 2: Dollar Asset Return - Global investors are increasingly looking to diversify their investments into Asian markets, particularly China, which is seen as a favorable opportunity for HKEX [5]. - The participation of foreign capital in the Hong Kong stock market is high, especially among cornerstone investors in IPOs, which includes long-term investment funds from various regions [5]. Group 3: Technology Company Initiatives - HKEX has seen the addition of 50 new applications from companies under the 18A and 18C categories since launching its technology-focused listing channel, reflecting a positive response [6]. - The introduction of confidential submission for certain companies allows for sensitive information to be protected during the approval process, ensuring transparency at the time of public offering [6]. Group 4: 24-Hour Trading Discussion - There is ongoing discussion about the feasibility of implementing 24-hour trading at HKEX, which could enhance market accessibility for investors [7]. - The exchange is considering the implications of extended trading hours on operational processes and risk management, emphasizing the need for thorough analysis before any changes are made [7].

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。 ...