Auction Trading to Capture Opportunities
Pre-opening session, which is 30 minutes before the commencement of the morning session of the continuous trading session. The closing auction session commences one minute after the continuous trading session and ends at random closing time between 16:08 and 16:10 on a normal trading day (12:08 and 12:10 on a half trading day) as determined by HKEX system.
During pre-opening session and closing auction session, you can place two types of orders: "At-auction Order" & "At-auction Limit Order". (Please note that "Order Watching Service" option is not applicable)
A market order without a specified price with higher auction matching priority than At-auction Limit Order. During closing auction session, new at-auction order can only be placed on stocks eligible for closing auction. The executed price / volume will be determined on the final Indicative Equilibrium Price (IEP)* and Indicative Equilibrium Volume (IEV)#. Depending on market conditions, not all At-auction orders can be matched. If the order placed at either pre-opening session or closing auction session is unfilled at the end of that session, the order will be cancelled automatically . Please note that the executed price (i.e. final IEP) is not known at the time of order input and may not fall within or largely deviate from your expected price range, especially for orders executed in pre-opening session. The Bank reserves the right to sell the related securities to setoff the cash shortfall.
At-auction Limit OrderΔ
A limit order with a specified price. The executed price / volume will be determined on the final Indicative Equilibrium Price (IEP)* and Indicative Equilibrium Volume (IEV)#. At pre-opening session, unfilled or partially-filled orders will continue to be processed at your specified price in the continuous trading session.
For stocks eligible for closing auction trading, if the corresponding order cannot be fully executed in the continuous trading session and the order price is within HKEX permissible price limit, the order will be carried forward to the closing auction session by HKEX automatically. During closing auction session, new at-auction limit order can be placed on stocks eligible for closing auction trading but the order price must be within HKEX permissible price limit. When auction matching is completed, unfilled order which expires on the same day will be cancelled while the outstanding multiple day at-auction limit order will be processed in the next pre-opening session. For stocks not eligible for closing auction trading, if the corresponding order cannot be fully executed in the continuous trading session, unfilled orders which expires on the same day will be cancelled after continuous trading session ends while the outstanding multiple day At-auction Limit Order will be processed in the next pre-opening session.
Indicative Equilibrium Price (IEP) - Price where maximum number of shares can be traded if order matching occurs at that time. IEP will be calculated only if the highest bid price of the buy At-auction Limit Order is equal to or higher than the lowest ask price of the sell At-auction Limit Order. During the pre-opening session or closing auction session, the IEP and IEV# will be continuously re-calculated every time a new order is entered until the completion of order matching. The final IEP (executed price) is calculated by The Stock Exchange of Hong Kong Limited ("HKEX").
Indicative Equilibrium Volume (IEV) - Quantity of shares that could be matched at the IEP. During the pre-opening session or closing auction session, the IEP and IEV will be continuously re-calculated every time a new order is entered until the completion of order matching.
During pre-opening session, in order to ensure that we can execute At-auction Limit Order with efficiency, Hang Seng Bank Limited will only send the orders within 500 spreads of IEP or Nominal Price or Previous Closing Price as the case may be, if available, to the HKEX for queuing. Note: HKEX system rejects the order price of at-auction limit which deviates 9 times or more from the previous closing price or the nominal price or final IEP (as the case may be), if available. In this case, the Bank will not process your order and your order will become unexecuted. Please check the status of your instruction by order status enquiry function. You can place another new at-auction limit order if you need to. The Bank reserves the right to amend the above operation from time to time without prior notice.
Auction Trading Timetable
To fully capture the opportunities in the pre-opening and closing auction session for trading securities, you can refer to the following timetables for auction trading.
Pre-opening Session Timetable
Closing Auction Session Timetable
IEP and IEV will be calculated and displayed continuously
HKEX's AMS/3 host will determine the final IEP at this period and orders will be matched with the order type, price and time by order sequence. The result of executed orders will be transmitted to the Exchange Participants.
Various Trading Channels Available for Auction Trading
You can place auction orders through all available trading channels, including:
Hang Seng Personal e-Banking1
Automated Securities Trading Hotline1
After a securities transaction has been executed, the Bank will make available the essential features of the securities transaction as soon as reasonably possible through such means or medium including but not limited to Personal e-Banking, Automated Securities Trading Hotline, Instant Order Confirmation Service or personal call provided by the Bank from time to time and at the Bank’s discretion. Customers shall check the essential features of the securities transactions by themselves through such means or medium provided by the Bank.
Should you have any queries on the above service, please contact our Customer Service Hotline 2998 9898. For details of the trading mechanism of HKEX during pre-opening session and closing auction session, please visit the website of HKEX: www.hkex.com.hk.