Investment involves risks and the
prices of securities may go up or
down and may even become valueless.
Investors should read the relevant
Risk Disclosure Statement and relevant
documents before making any investment
decision. Investors should note
that investing in different Renminbi-denominated
securities and products involves
different risks (including but are
not limited to currency risk, exchange
rate risk, credit risk of issuer
/ counterparty, interest rate risk,
liquidity risk (where appropriate)).
The key risks of investing in the
securities of Shanghai-Hong Kong
Stock Connect include:
• |
Transactions
under the Northbound or
Southbound Trading of
Shanghai-Hong Kong Stock
Connect will not be covered
by the Investor Compensation
Fund in Hong Kong.
|
• |
Once
the respective quota is
used up, trading will
be affected or will be
suspended. |
• |
Shanghai-Hong
Kong Stock Connect will
only operate on days when
both markets are open
for trading and when banks
in both markets are open
on the corresponding settlement
days. Investors should
take note of the days
Shanghai-Hong Kong Stock
Connect is open for business
and decide according to
their own risk tolerance
whether or not to take
on the risk of price fluctuations
in securities during the
time when Shanghai-Hong
Kong Stock Connect is
not trading. |
• |
When some stocks are recalled
from the scope of eligible
stocks for trading via
Shanghai-Hong Kong Stock
Connect, the stocks can
only be sold but NOT bought.
|
• |
Investors will
be exposed to currency
risk if conversion of
the local currency into
RMB is required. |
|