Elsa Chan


In 2016, The Stock Exchange of Hong Kong Limited (the Exchange) continued to rank number one globally in terms of IPO fundraising, with 126 new companies listing and raising approximately HK$195.3 billion in total. In an effort to uphold the quality and reputation of Hong Kong’s stock market, the Exchange published its 2016 Listing Committee Report (the Report) on 20 March 2017, which  included a review of the Exchange’s work in 2016 and an overview of its policy agenda for 2017 and beyond. The Report highlighted the main issues that the Exchange considered to be of greatest interest to the investing public and listed companies and outlined the Exchange’s position or proposed action in relation thereto.

According to the Report, the Exchange is focused on three areas in particular. These are: (a) suitability for listing; (b) backdoor listing; and (c) capital raising by listed issuers. Other substantial matters considered by the Exchange include, among others, the review of listing on the Growth Enterprise Market Board (GEM), pre-IPO investments and the expansion of the thematic approach to enforcement.

The highly anticipated Shanghai-Hong Kong Stock Connect programme (“Stock Connect”) was officially launched on 17 November 2014, marking an unprecedented milestone in the establishment of mutual market access between Hong Kong and Mainland China. The new cross-border investment channel will enable investors in Hong Kong and the Mainland to trade designated securities listed in each other’s market, through their respective local brokers for the first time. While there has been an impressive range of materials…