Investment Rating - The report maintains a "Buy" rating for the company [5][51]. Core Views - As of March 9, 2026, the company's PE ratio is 29.06x, which is at the 12th percentile historically since 2016, indicating a certain level of value for allocation. It is expected that with the continuous enhancement of the mutual access policy in the Hong Kong capital market, liquidity in the Hong Kong stock market will continue to rise, leading to an increase in overall market activity and valuation. The company is projected to achieve revenue and other income of HKD 365 billion, 391 billion, and 413 billion for 2026, 2027, and 2028 respectively, with net profit attributable to shareholders of HKD 226 billion, 241 billion, and 256 billion, corresponding to PE valuations of 22.9x, 21.4x, and 20.2x respectively [2][51]. Summary by Sections Market Environment - The Hong Kong stock market remains active, with the overall trading volume at historical highs. In February, the average daily trading (ADT) for the Hong Kong Stock Exchange was HKD 2,468 billion, reflecting a month-on-month decrease of 9.4% and a year-on-year decrease of 17.0%. The Northbound trading ADT was HKD 3,807 billion, down 16.1% month-on-month but up 45.2% year-on-year, while Southbound trading ADT was HKD 1,142 billion, down 14.1% month-on-month and down 28.6% year-on-year [6][16]. Derivatives Market - In February, both futures and options trading volumes increased month-on-month. The average daily volume (ADV) for futures was 68.4 million contracts, up 3.8% month-on-month but down 25.5% year-on-year. The ADV for options was 105.0 million contracts, up 0.2% month-on-month but down 21.9% year-on-year [19][20]. Primary Market - The IPO scale in the Hong Kong stock market saw significant growth in February, with a total of 24 new stocks listed, raising a total of HKD 923 billion, which is a year-on-year increase of 1052.4%. The average size of each IPO was HKD 38.5 billion, up 332.2% year-on-year. Notably, 42% of the new listings were from the information technology sector, contributing 48% of the total fundraising [31][32]. Investment Income - As of the end of February, the relevant interest rates for investment income showed a general decline. The 6-month HIBOR was 2.73%, the 1-month HIBOR was 2.41%, and the overnight HIBOR was 2.55%, reflecting month-on-month changes of -0.16 percentage points, -0.20 percentage points, and +0.37 percentage points respectively [41].

Investment Rating - The report maintains a "Buy" rating for the company [2][6]. Core Insights - As of March 9, 2026, the company's PE ratio stands at 29.06x, which is in the 12th percentile historically since 2016, indicating a certain level of value for allocation. It is expected that with the continuous enhancement of the mutual access policy in the Hong Kong capital market, liquidity in the Hong Kong stock market will continue to rise, leading to an increase in overall market activity and valuation. The company is projected to achieve revenues and other income of HKD 365 billion, 391 billion, and 413 billion for 2026-2028, with net profit attributable to shareholders of HKD 226 billion, 241 billion, and 256 billion, corresponding to PE valuations of 22.9x, 21.4x, and 20.2x respectively [2][52]. Company Overview - The Hong Kong stock market experienced overall fluctuations in February, with the trading activity of listed securities on the Hong Kong Stock Exchange remaining high. The monthly average daily turnover (ADT) for February was HKD 2,468 billion, reflecting a decrease of 9.4% month-on-month and 17.0% year-on-year. However, the overall trading activity remains at historical highs [8][11][17]. Market Environment - The overall market trading remains high, and performance is expected to grow alongside market increases. The total market capitalization of Hong Kong stocks as of the end of February 2026 was HKD 498.76 billion, up 27.5% year-on-year, despite a month-on-month decrease of 1.8% [9][11]. Derivatives Market - In the derivatives market, both futures and options trading volumes increased month-on-month. The average daily volume (ADV) for futures was 68.4 million contracts, up 3.8% month-on-month but down 25.5% year-on-year. The ADV for options was 105.0 million contracts, showing a slight increase of 0.2% month-on-month but a decrease of 21.9% year-on-year [21][22]. Primary Market - The IPO scale in the Hong Kong stock market saw significant growth in February, with a total of 24 new stocks listed, raising a total of HKD 923 billion, which is a year-on-year increase of 1052.4%. The average scale of each IPO was HKD 38.5 billion, up 332.2% year-on-year [31][32].

Core Insights - Hong Kong Stock Exchange (HKEX) has emerged as the leading venue for initial public offerings (IPOs) in 2025, surpassing other major financial hubs, while London has fallen out of the top 20 IPO marketplaces [1][4] - The increase in new listings on HKEX is attributed to significantly lowered regulatory standards, raising concerns about the quality of these listings [2][3] - Despite the surge in IPOs, regulatory bodies like the Securities and Futures Commission (SFC) have issued warnings regarding the quality of applications, indicating potential risks in the market [4][5] Regulatory Changes - HKEX has implemented several regulatory changes since 2024, including reduced public float requirements, lower minimum price gaps, and eased compliance burdens, making it easier for companies to list [3] - Biotech startups and specialist technology companies can now list before achieving profitability, with some not even required to register revenue [3] Market Performance - In 2025, HKEX generated $HK274.6 billion (£25.8 billion) from new listings, marking a 95% increase in average daily turnover for its cash market [4] - In contrast, the London Stock Exchange raised £1.9 billion in 2025, its strongest year since 2021, but still significantly lower than HKEX [4] Quality Concerns - The SFC has categorized over 50 IPO applications as lapsed, rejected, or returned, raising concerns about the quality of companies entering the market [4] - The case of China Evergrande Group, which faced a significant financial collapse, highlights potential regulatory oversights within HKEX [5] Future Outlook - Despite warning signs, many companies, including Hithium Energy Storage, are still preparing to list on HKEX, although their financial stability raises concerns [6] - U.S. markets, particularly the New York Stock Exchange and Nasdaq, are seen as potential beneficiaries if they maintain stringent governance standards while streamlining listing processes [9]

Group 1 - The Hong Kong Stock Exchange (HKEX) announced the appointment of Chan Kam Wing to replace Zhou Hu Mu Fang as a member of the board of directors [1] - Chan's term will last approximately two years, starting from the conclusion of the 2026 HKEX Annual General Meeting on April 29, 2026, until the end of the Annual General Meeting in 2028 [1]

根據《香港聯合交易所有限公司證券上市規則》第三十八章，證券及期貨事務監察委員會監管 香港交易及結算所有限公司有關其股份在香港聯合交易所有限公司上市的事宜。證券及期貨事務 監察委員會對本公告的內容概不負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概 不對因本公告全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 陳先生的履歷如下： 陳錦榮 銅紫荊星章、榮譽勳章、太平紳士 （67 歲） 1 其他主要職務 • 龔如心慈善管理有限公司（註）– 理事會成員（2025~） • H Capital – 非執行董事及董事會顧問（2025~） • 香港立信德豪會計師事務所有限公司 – 董事會高級顧問 （2024~） 前任職務 • 香港按揭證券有限公司 – 非執行董事（2019-2025） • 香港立信德豪會計師事務所有限公司 – 審計部董事總經理 （2009-2024） • 株洲中車時代電氣股份有限公司* – 獨立非執行董事（2006-2023） • 證券及期貨事務監察委員會 – 非執行董事（2019-2021） • 亞洲 – 大洋洲會計準則制定機構組 – 主席（2014-2015） • 香港會計師 ...

Core Insights - The biotechnology sector remains one of the most focused themes in the global investment market, with strong growth momentum reflected in the performance of related stocks and the overall sector [1] - The Hang Seng Biotechnology Index, launched in 2019, tracks 30 of the largest biotechnology companies listed in Hong Kong and has seen a significant increase of 64.5% in 2025, with an additional rise of 10.7% year-to-date as of February 24, 2026 [1] Group 1: Market Performance - The Hang Seng Biotechnology Index has a weight distribution of approximately 50% for biotechnology companies and 40% for pharmaceutical companies, with additional representation from drug distribution (6%) and medical devices (4%) [1] - The number of biotechnology and healthcare companies listed in Hong Kong has exceeded 270, with a total market capitalization of over HKD 4.2 trillion, showing substantial growth since the end of 2018 [2] Group 2: Investment Tools - The Hong Kong Stock Exchange offers a diverse range of investment and risk management tools in the biotechnology sector, including stocks, ETFs, structured products, and derivatives [2] - As of the end of February 2026, there are 10 ETFs tracking the Hang Seng Biotechnology Index, with a total asset management scale of HKD 15.6 billion, and the number of structured products linked to biotechnology stocks has increased from 132 in January 2025 to 500 in January 2026 [2] Group 3: Derivative Instruments - The introduction of the Hang Seng Biotechnology Index futures in November 2025 provides investors with more options for participation and risk management in the biotechnology sector [3] - Each futures contract has a contract multiplier of HKD 50 per index point, meaning a 100-point change in the index results in a contract value change of HKD 5,000 [3] Group 4: Volatility and Risk Management - The annualized volatility of the Hang Seng Biotechnology Index was approximately 41.2% for the 12 months ending January 2026, significantly higher than the Hang Seng Index (24.2%) and the Hang Seng China Enterprises Index (25.9%) [4] - Investors can use the Hang Seng Biotechnology Index futures in conjunction with biotechnology ETFs or stocks to manage overall sector risk, allowing for hedging while maintaining long-term positions [4]

Core Viewpoint - Hong Kong Exchanges and Clearing Limited (HKEX) is expected to perform well in 2025, with a strategic focus on growth, projecting net profits for 2026-2028 to be HKD 186 billion, HKD 206 billion, and HKD 229 billion, representing year-on-year growth rates of 4.8%, 10.5%, and 11.2% respectively, with current price-to-earnings ratios of 27.5, 24.9, and 22.4 times [1] Group 1: Financial Performance - In 2025, HKEX reported a 30% year-on-year increase in total revenue and other income to HKD 292 billion, and a 36% increase in net profit attributable to shareholders to HKD 178 billion, with Q4 showing a 15% year-on-year growth, slightly down from Q3 [1] - The revenue structure for 2025 showed that cash, derivatives, and commodities accounted for 50%, 24%, and 11% of total revenue respectively [1] - Cash business revenue increased by 56% year-on-year to HKD 147 billion, driven by strong trading volume, with the average daily turnover (ADT) rising by 90% to HKD 2,498 billion [1] - The revenue from the Stock Connect program increased by HKD 15.7 billion year-on-year to HKD 43.2 billion, accounting for 14.8% of HKEX's total revenue [1] Group 2: Derivatives Performance - The trading volume of financial derivatives showed divergence, with total revenue and other income increasing by 11%, but below the overall company growth rate [2] - The average daily trading volume of futures contracts decreased by 6% due to a 16% drop in daily average contracts for the Hang Seng Index and Hang Seng China Enterprises Index, leading to a 7% decline in futures trading revenue [2] - Conversely, the daily trading volume of stock options increased by 22%, with higher fee options trading becoming more active, offsetting the decline in futures trading revenue [2] Group 3: Investment and Strategic Initiatives - In 2025, HKEX's net investment income increased by HKD 1.84 billion to HKD 51.1 billion, with expectations for 2026 influenced by various factors including collateral arrangements and fluctuations in HIBOR [3] - Operating expenses for 2025 increased by only 2% year-on-year, with EBITDA growth outpacing revenue growth by 10 percentage points, reflecting the company's scale effects and cost control capabilities [3] - HKEX is actively pursuing strategic measures to enhance its multi-asset ecosystem, including acquiring a 20% stake in a clearing company for HKD 4.55 billion, which will strengthen its fixed income and currency product offerings [4] - The exchange is also expanding its international influence, with seven international issuers from countries like Kazakhstan, Singapore, Thailand, and the UAE listing in 2025, and over ten international companies currently in the IPO queue [4]

Core Insights - Hong Kong Stock Exchange (HKEX) reported a strong financial performance for 2025, with revenue and other income reaching HKD 29.161 billion, a year-on-year increase of 30%, and net profit attributable to shareholders at HKD 17.754 billion, up 36% [1] Market Performance - The average daily turnover (ADT) in the Hong Kong stock market hit a record high of HKD 2.498 trillion, a significant increase of 89.5% year-on-year, driven by a surge in trading volume [1] - Southbound capital has become a crucial pillar for liquidity in the Hong Kong stock market, with the ADT for southbound trading increasing by 151% to HKD 1.211 trillion, accounting for 48.5% of the total ADT [1] Derivatives Market - The derivatives market showed continued growth, with an average daily trading volume of 1.66 million contracts, a 7% increase year-on-year [2] - Stock options emerged as one of the most active segments, with an average daily trading volume of 880,000 contracts, reflecting a substantial year-on-year growth of 22% [2] IPO Market - The Hong Kong IPO market experienced a significant turnaround, with 119 new listings in 2025, raising a total of HKD 286.9 billion, a remarkable increase of 226% year-on-year, reclaiming the top position in global IPO financing [2] - New economy companies dominated the IPO landscape, accounting for 66% of the total funds raised, with 21 biotech and specialized technology companies listed under Chapter 18A and 18C [2] Strategic Developments - HKEX made substantial progress in diversifying its asset offerings and enhancing global connectivity, including the establishment of a new subsidiary in Dubai for commodity pricing services [3] - The exchange also introduced a "Tech Company Fast Track" to provide guidance for specialized technology firms and initiated discussions on adjusting the settlement model for the cash market to improve competitiveness and operational efficiency [3] Financial Projections - Revenue projections for HKEX from 2025 to 2027 are estimated at HKD 31.960 billion, HKD 34.331 billion, and HKD 37.597 billion, representing year-on-year growth rates of 9.60%, 7.42%, and 9.51% respectively [3] - Net profit forecasts for the same period are HKD 20.463 billion, HKD 22.043 billion, and HKD 24.357 billion, with growth rates of 15.61%, 7.72%, and 10.50% respectively [3]

Investment Rating - The investment rating for Hong Kong Exchanges and Clearing Limited is "Buy" (maintained) [5] Core Views - The company's full-year operating data for 2025 met expectations, with total revenue and net profit attributable to shareholders increasing by 30% and 36% year-on-year to HKD 29.2 billion and HKD 17.8 billion, respectively [5] - The company continues to implement a series of proactive strategic measures to enhance its market position [7] Summary by Relevant Sections Market Performance - Closing price as of March 4, 2026, was HKD 404.80, with a one-year high/low of HKD 466.00/HKD 283.20 [3] Financial Performance - In 2025, the revenue structure comprised 50% from cash equities, 24% from derivatives, and 11% from commodities [6] - Cash equities revenue increased by 56% year-on-year to HKD 14.7 billion, driven by strong trading volume, with average daily turnover rising by 90% to HKD 249.8 billion [8] - The investment income for 2025 rose by HKD 184 million to HKD 5.11 billion, with expectations for 2026 influenced by various factors [9] Strategic Initiatives - The company acquired a 20% stake in a clearing house for HKD 455 million to strengthen its fixed income and currency product offerings [9] - In 2025, seven international issuers from countries such as Kazakhstan and Singapore listed on the exchange, indicating its role in connecting mainland China with the global market [9] Profit Forecast and Valuation - Projected net profits for 2026-2028 are HKD 18.6 billion, HKD 20.6 billion, and HKD 22.9 billion, with respective growth rates of 4.8%, 10.5%, and 11.2% [9] - The current price-to-earnings ratios for 2026-2028 are 27.5, 24.9, and 22.4 times [9]

Core Viewpoint - The Hong Kong Stock Exchange announced that the Jiashi China-US Technology 50 ETF (03169) will be included as a qualified security in the Central Clearing System and will start trading on March 6, 2026, providing investors with a convenient investment tool to access core assets in the two major global technology innovation centers [1] Group 1 - The Jiashi China-US Technology 50 ETF aims to capitalize on the new global technology cycle driven by artificial intelligence (AI) [1] - The ETF closely tracks the Solactive Harvest Tiger G2 Tech 50 Select Index, which includes 50 of the most influential technology companies globally, comprising 30 leading Chinese tech firms listed in Hong Kong and 20 global tech giants listed in the US [1] - The index maintains a regional weight of approximately 62% in Hong Kong stocks and 38% in US stocks, aiming to balance risk diversification and growth potential [1] Group 2 - The ETF sets clear weight limits for individual components, with a maximum of 8% for Hong Kong stocks and 5% for US stocks, to reduce the impact of individual stock volatility on overall performance [1]