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]

Core Viewpoint - Hong Kong real estate stocks experienced an afternoon rally, driven by market expectations of favorable government policies in the upcoming 2025 policy address [1] Group 1: Stock Performance - New World Development (00016) rose by 4.33% to HKD 97.55 - Hang Lung Properties (00101) increased by 2.33% to HKD 8.8 - Hysan Development (00012) gained 2.07% to HKD 27.6 - Henderson Land Development (00014) climbed 1.71% to HKD 16.08 [1] Group 2: Government Policy Expectations - The Hong Kong government is set to announce the 2025 policy address on Wednesday, 17th - UBS anticipates the government will reduce stamp duty on residential properties valued between HKD 4 million to HKD 6 million - Proposed initiatives include a "Home Purchase Fund" plan, further relaxation of capital investor entry qualifications, and measures to attract more mainland visitors [1] Group 3: Impact on Real Estate Developers - The new policy address is expected to benefit developers such as Hysan Development, New World Development, and Sino Land - Increased mainland visitor traffic is likely to support regional mall owners, including Wharf Real Estate Investment and Hysan Development - Accelerated development in the Northern Metropolis may pose negative implications for MTR Corporation due to rising capital expenditure concerns, but could positively impact land reclamation for Henderson Land Development [1] Group 4: REITs and Market Outlook - UBS predicts that the inclusion of Real Estate Investment Trusts (REITs) in the mutual market connectivity will have a positive effect on Link REIT [1]

Core Viewpoint - Hong Kong real estate stocks experienced an afternoon rally, driven by market expectations of favorable government policies in the upcoming 2025 policy address [1] Group 1: Stock Performance - Sun Hung Kai Properties (00016) rose by 4.33% to HKD 97.55 - Hang Lung Properties (00101) increased by 2.33% to HKD 8.8 - Henderson Land Development (00012) gained 2.07% to HKD 27.6 - Hysan Development (00014) climbed 1.71% to HKD 16.08 [1] Group 2: Government Policy Expectations - The Hong Kong government is set to announce the 2025 policy address on Wednesday, 17th [1] - UBS anticipates the government will further reduce the stamp duty on residential properties valued between HKD 4 million to HKD 6 million [1] - Proposed measures include the establishment of a "Home Purchase Fund" plan and further relaxation of residential property investment qualifications for capital investors [1] Group 3: Impact on Real Estate Developers - The new policy address is expected to benefit developers such as Henderson Land, Sun Hung Kai Properties, and Sino Land [1] - Increased mainland visitor arrivals are projected to support regional mall owners, including Wharf Real Estate Investment and Hysan Development [1] - Accelerated development in the Northern Metropolis may pose negative implications for MTR Corporation due to rising capital expenditure concerns, but could positively impact land reclamation for Henderson Land [1] Group 4: REITs and Market Outlook - UBS forecasts that the inclusion of Real Estate Investment Trusts (REITs) in the mutual market connectivity will have a positive effect on Link REIT [1]