Core Viewpoint - Hong Kong Exchanges and Clearing Limited (HKEX) is proposing a framework to optimize the trading unit structure in the securities market, aiming to enhance market efficiency and gradually move towards a single trading unit in the long term [1] Group 1: Proposed Changes - The core recommendations include reducing the number of trading unit types from the current complex structure to 8 options [1] - The minimum value guideline for trading units will be lowered from HKD 2,000 to HKD 1,000 [1] - An upper limit of HKD 50,000 for trading unit value will be introduced [1] Group 2: Market Impact - Approximately 25% of existing listed companies will need to adjust their trading units, which collectively account for a similar proportion of total market turnover [1] - The reform is designed to balance market participation and operational costs for issuers, particularly considering the high proportion of low-priced stocks in the Hong Kong market [2] Group 3: Implementation Timeline - The implementation will be phased, with new listings being the first to adopt the new regulations after the consultation period [3] - Existing issuers will have a 6-month transition period to adjust after completing their transition to a paperless securities market [3]

Core Viewpoint - The Hong Kong Stock Exchange (HKEX) has initiated a consultation to optimize the framework for trading units, aiming to enhance trading, settlement, and clearing efficiency in the market [1][2]. Group 1: Consultation Details - The consultation period will last for 12 weeks, ending on March 12, 2026 [1]. - HKEX plans to simplify the current trading unit mechanism, reducing the number of trading unit types from over 40 to 8 standard options [4][5]. - The proposed standard trading units will be: 1 share, 50 shares, 100 shares, 500 shares, 1000 shares, 2000 shares, 5000 shares, and 10000 shares [4]. Group 2: Market Efficiency and Participation - The suggestions aim to improve operational efficiency in the secondary market and lower the trading value threshold to encourage more retail investors to participate in the Hong Kong stock market [2][6]. - Approximately 25% of issuers may need to adjust their trading unit sizes if the proposals are implemented [5]. Group 3: Value Guidelines - HKEX intends to set a lower limit for the trading value from the current HKD 2000 to HKD 1000, while introducing an upper limit of HKD 50000 for issuers with trading units greater than 100 shares [7]. - Currently, 19 companies have a trading value exceeding HKD 50000, with 16 of them having trading units greater than 100 shares [8]. Group 4: Implementation Phases - The new trading unit framework will be implemented in phases to ensure a smooth transition for the market [10]. - In the first phase, new issuers will be required to select standardized trading units and comply with the revised trading value guidelines [10]. - Existing issuers will transition to the new framework within a specified timeframe after the implementation of a paperless securities market [10].

Core Viewpoint - The Hong Kong Stock Exchange (HKEX) is set to initiate a market consultation regarding the reform of trading lot sizes, which currently consists of over 40 different units [1] Group 1: Reform Details - The reform of trading lot sizes is deemed very important by HKEX, as the current complexity may hinder retail investors [1] - The reform will not be a one-size-fits-all approach; instead, it aims to reduce the number of lot sizes while avoiding excessive increases in trading costs for high-priced stocks [1] - HKEX plans to engage with the market for feedback before implementing changes, indicating a careful and consultative approach to the reform [1] Group 2: Timeline - A market consultation is expected to take place before the end of the year [1] - Feedback from the market is anticipated by the first quarter of 2026, after which further steps will be taken to advance the reform [1]

Core Viewpoint - Hong Kong Stock Exchange (HKEX) is planning a reform regarding the trading unit size, aiming to simplify the current complex structure of over 40 different trading units, while ensuring that the reform does not disadvantage retail investors [1][8]. Group 1: Trading Unit Reform - The current trading unit sizes in the Hong Kong market are diverse, with 43 different units ranging from 10 shares to 100,000 shares [3][4]. - The most common trading unit is 2,000 shares, with 666 companies using this size, accounting for 24.9% of the total [4]. - HKEX plans to initiate a market consultation on the trading unit reform soon, with the goal of reducing the number of trading units without completely standardizing them [8]. Group 2: 24-Hour Trading Discussion - There is ongoing discussion about whether HKEX should implement 24-hour trading, similar to some overseas markets, but this requires thorough research and consideration of market dynamics [9][10]. - The CEO of HKEX expressed caution, noting that extending trading hours could complicate processes and increase risks, and emphasized the need for consensus among market participants before proceeding [10]. Group 3: Interconnectivity and REITs - HKEX is actively working to enhance interconnectivity, with significant increases in both northbound and southbound trading volumes, particularly in ETFs [12][13]. - The average daily trading amount for southbound ETFs reached 4.2 billion yuan in the first three quarters of 2025, marking a record high [13]. - HKEX aims to expedite the inclusion of Real Estate Investment Trusts (REITs) into the interconnectivity framework to further enhance market participation [14].

Group 1 - The Hong Kong Stock Exchange (HKEX) is planning a reform regarding the trading unit size, with a market consultation expected to start soon [1][7] - Currently, there are 43 different trading unit sizes in the Hong Kong market, with the most common being 2,000 shares, accounting for 24.9% of companies [3][4] - The reform will not be a one-size-fits-all approach; instead, it aims to reduce the number of trading units while considering the impact on high-priced stocks and retail investors [7] Group 2 - Discussions about implementing 24-hour trading in the Hong Kong market are ongoing, but the HKEX is cautious and emphasizes the need for thorough research [9][10] - The CEO of HKEX highlighted that extending trading hours could increase market liquidity, but it also requires careful consideration of operational impacts [10] - There is potential for extending trading hours for derivatives, but further discussions with brokers are necessary for the cash market [10] Group 3 - The HKEX is focused on enhancing its role in the fixed income and currency markets, aiming to become a major hub for RMB-denominated bonds and commodities [12] - The mutual market access has seen significant growth, with northbound trading increasing by 70% compared to last year, and southbound trading also rising [12][13] - The average daily trading volume for southbound ETF transactions reached 4.2 billion yuan in the first three quarters of 2025, marking a record high [13]