Investment > Securities Services > Monthly Investment Plan for Stocks Investment involves risks and prices of investment products may go up or down and may even become valueless. Investors should read the relevant offering documents and Risk Disclosure Statement before making any investment decision. A Wide Selection of Stocks - Hang Seng 50 constituent stocks1 - Selected HKD Denominated Index-tracking Exchange Traded Funds (ETF)2 - China Communications Services Corporation Limited (Stock code: 00552) - The Link Real Estate Investment Trust (Stock code: 00823) - Manulife Financial Corporation (Stock code: 00945) - Standard Chartered Plc (Stock code: 02888) - China Molybdenum Company Limited (Stock code: 03993) Low Investment Amount Monthly investment amount as low as HKD1,000 each month Low Handling Charges The handling charge, costs as low as HKD50 per month per security, includes brokerage fee, stamp duty, HKEx trading fee, SFC transaction levy, safe custody fee, securities deposit charge for purchase order and nominee services fees. There is no charge for plan readjustment, or termination Fee Table Direct Debit for Maximum Convenience Your monthly investment amount will be paid by direct debit for convenience3 Manage Your Investment Plan With Ease You may capture investment opportunities by selling all or part of your securities at any time through Hang Seng Personal e-Banking, Manned Securities Trading Hotline (2532 3838) or at designated branches4 Dollar Cost Averaging By using Dollar Cost Averaging investment method, you can buy more shares/units when the price goes down and fewer shares/units when the price goes up with a fixed monthly investment amount. Such investment method enables you to capitalise on the potential returns (if any) of the stock market in medium to long term without having to worry about short-term price fluctuations Note : 1. Swire Pacific Limited 'B' is not included Please visit www.hsi.com.hk for details of Hang Seng 50 constituent stocks. 2. This is not a stock but an Exchange Traded Fund 3. Customers should set up a direct debit authorisation together with plan subscription for subsequent monthly investment payment at designated branches or via Hang Seng Personal e-Banking 4. You will not receive personal call to confirm your sale order placed through Hang Seng Personal e-Banking. Please use order status enquiry function to check the updated status of your order. For all sale orders placed via the Manned Securities Trading Hotline and branches, no phone order confirmation will be conducted for wholly unexecuted orders (i.e. excluding fully executed and partially executed orders) after market closes or the order expiry date. For any "Good Till Date" Order, the Bank will endeavour to notify customers by personal phone call promptly once the order is executed (i.e. partially or fully executed). No extra phone calls will be given for the unexecuted portion of the order after the order expiry date. Sale orders of securities are subject to the brokerage fee (0.25% of transaction amount, minimum HK$100) and the transaction charges charged by third parties such as Transaction Levy, Stamp Duty and Trading fee, etc. How the Plan Works Assuming the customer's regular investment amount is HKD2,000. The investment amount after deduction of the handling fee (0.25% of the monthly investment amount or HKD50 per security, whichever is higher) will be used for purchasing securities. The number of shares/units allocated to each customer will be rounded down to the nearest whole number of shares/units. Any remaining dollar amount will be credited to the customer's payment account within five trading days following the Securities Purchase Date.   Regular Investment Amount(HKD) Amount Available for security Purchase5 (HKD) (a) Purchase Price (HKD) (b) Number of Shares/Units Purchased (c) Actual Investment Amount (HKD) (b) x (c) Amount to be Refunded (HKD) (a) - (b x c) 1st $2,000 $1,950 $12.05 161 $1,940.05 $9.95 2nd $2,000 $1,950 $13.20 147 $1,940.40 $9.60 3rd $2,000 $1,950 $13.00 150 $1,950.00 $0.00 4th $2,000 $1,950 $13.50 144 $1,944.00 $6.00 Total $8,000 $7,800 - 602 $7,774.45 $25.55 Note : 5 Amount available for security purchase = Customer's regular investment amount - Handling fee (0.25% of monthly investment amount or HKD50 per security, whichever is higher) Plan Details Minimum Monthly Investment Amount HKD1,000 for each security Securities available for selection - Hang Seng 50 constituent stocks1 - Selected HKD Denominated Index-tracking Exchange Traded Funds (ETF)2 - China Communications Services Corporation Limited (Stock code: 00552) - The Link Real Estate Investment Trust (Stock code: 00823) - Manulife Financial Corporation (Stock code: 00945) - Standard Chartered Plc (Stock code: 02888) - China Molybdenum Company Limited (Stock code: 03993) Payment Account Hong Kong Dollar account at Hang Seng Bank or HSBC Payment Date6 The 10th of each month Purchase Date The third trading day after Payment Date7 Monthly Investment Amount Readjustment Effective in the following calendar month upon the receipt of customer's notice. Monthly Investment Portfolio Readjustment Effective in the following calendar month upon the receipt of customer's notice. Plan Termination8 Effective in the following calendar month upon the receipt of customer's notice. Note : 6. Applicable to normal circumstances. If it is the first contribution, the Payment Date will be on the 10th of the month after the month in which the instruction is made by the customer. The Payment Date will be postponed to the next clearing day if the 10th of the month falls on a Saturday, Sunday or public holiday. 7. Under normal market conditions, purchase of securities will commence at around 15 minutes after the market opens on the Purchase Date. 8. The Plan will be terminated automatically if no payment is made for two consecutive months. Fee Table Handling Fee 0.25% of the monthly investment amount per security or HKD50 (whichever is higher), inclusive of brokerage fee, stamp duty, HKEx trading fee, SFC transaction levy, safe custody fee, securities deposit charge for purchase order and nominee services fee. Monthly Investment Amount or Investment Portfolio Readjustment Nil Plan Termination Nil Note : - The number of shares/units allocated to each customer will be rounded down to the nearest whole number of shares/units. Any remaining dollar amount will be credited to the customer's payment account within five trading days following the Securities Purchase Date. - If a customer retains securities in the Monthly Investment Plan account after he/she terminates all the Monthly Investment Plan for stocks, the Bank will impose normal securities services charges, including safe custody fees, nominee services fees and other relevant charges. - If a customer sells any securities in the Monthly Investment Plan account (regardless of whether the plan is terminated or not), the Bank will impose normal securities services charges, including the brokerage fee at normal rate (i.e. 0.25% of transaction amount, minimum HKD100 per transaction) and other relevant securities services charges on the selling transactions.   Act now! You can now set up a Monthly Investment Plan through Hang Seng Personal e-Banking9.   For more information, please call 2998 9898 during office hours. Note: 9. Only applicable to Hang Seng Integrated Account customers and not applicable to joint accounts. Joint name Integrated Account customers can set up a Monthly Investment Plan through e-Banking service after their Monthly Investment Plan securities account has been set up. Customers can open a securities account for Monthly Investment Plan after completing a "Hang Seng Monthly Investment Plan Application Form (Stocks)" and submitting it at our branches. Risk Warnings Investors should note that an exchange traded fund ("ETF") is different from a typical unit trust and many factors will affect its performance. The market price per ETF unit could be significantly higher or lower than its net asset value per unit due to market demand and supply, liquidity, and scale of trading spread in the secondary market and will fluctuate during the trading day. While the investment objective of an index-tracking ETF is to match, before expenses, as closely as practicable the performance of the underlying index, there can be no assurance that the performance of the index-tracking ETF will be identical to the performance of the underlying index due to many factors. Like other index-tracking funds, an ETF is not actively managed meaning that the fund manager does not have discretion to select stocks individually or to take defensive positions in declining markets. Hence, any fall in the underlying index will result in a corresponding fall in the value of the ETF. In addition, to the extent that the underlying index concentrates in the securities of a particular industry or group of industries, the performance of ETFs could be more volatile than the performance of less concentrated funds. Before deciding whether or not to invest in an ETF, investors should consider if investment in the ETF is suitable for them in terms of their financial situation, investment experience and investment objectives. Investors should read the offering documents of the relevant ETF (including the full text of the risk factors stated therein) in detail before making any investment decision. Investors should note that investment involves risks (including the possibility of loss of the capital invested), prices of ETF units may go up as well as down and past performance information presented is not indicative of future performance. In addition, investors should avoid excessive investment in any single type of investment (in terms of its proportion of investors' overall investment portfolio) including any proposed investment in the relevant ETF so as to avoid their investment portfolio being over-exposed to any particular investment risk.