Through Shanghai-Hong Kong Stock Connect and Shenzhen-Hong Kong Stock Connect, Hong Kong and foreign investors can trade certain stocks listed in Shanghai Stock Exchange ("SSE") and Shenzhen Stock Exchange ("SZSE")("Northbound Trading") while Mainland investors can trade certain SEHK securities ("Southbound Trading"). Investors should note that any Northbound or Southbound Trading will not be covered by Hong Kong's Investor Compensation Fund.

To support Northbound Trading, we have upgraded our securities system. Through our Stock Connect Northbound Trading Service, you can trade certain A-shares listed in SSE and SZSE.

Your A-shares trading order will be passed irrespective of the trading sessions electronically and directly from us to China Stock Connect System ("CSC") of The Stock Exchange of Hong Kong Limited ("SEHK"). Once receive the order, CSC will route them onto SSE ⁄ SZSE's trading platform for matching and execution on SSE ⁄ SZSE. Upon trade execution, CSC will send the trade confirmation received from SSE ⁄ SZSE to us.

You can obtain the latest list of eligible stocks via our “A Shares Express” or simply click “A Shares Express (Free Quote)” under “Stock Connect Trading” page. Besides, you may also get the stocks list via HKEx’s website at http://www.hkex.com.hk.

Note: At the initial stage of Shenzhen-Hong Kong Stock Connect, investors eligible to trade shares that are listed on the ChiNext Board of SZSE under Northbound Trading will be limited to institutional professional investors.

Since A-shares transactions are settled in Renminbi (RMB), you must open an integrated account and have activated both securities sub-account & RMB savings account under the integrated account. All A-shares transactions will be settled through RMB savings account (RMB settlement account).

To comply with launch of Northbound Investor ID model regarding the Northbound trade, you need to agree the Bank to submit your Customer Identification Information (“CID”) to Mainland Exchanges via SEHK and get relevant confirmation before you can trade through our Stock Connect Northbound Trading Service on the next Northbound trading day. You can indicate your consent on Stock Connect Terms and Processing of CID after you have activated your securities account under the integrated account. You will be eligible for buy A shares through Stock Connect Northbound Trading Service on the next northbound trading date after your CID registration is confirmed by Mainland Exchanges.

Yes. But please ensure you have sufficient funds in your RMB savings account at the time you place the purchase order, otherwise, it will be rejected.
Note: As Northbound Investor ID model had been implemented at 26 September 2018, you need to indicate your consent on Stock Connect Terms and Processing of Customer Identification Information before you are eligible to buy A shares through our Stock Connect Northbound Trading Service on the next Northbound trading day after your CID registration is confirmed by Mainlander Exchanges.

Yes. You can trade A-shares if your existing securities account is a sub-account of an integrated account and meet the following requirements:

with RMB savings sub-account activated; and

Submitted consent on Stock Connect Terms and the Bank’s Processing of Customer Identification Information and relevant CID registration is being confirmed by Mainland Exchanges

However, if your existing securities account belongs to the following types, you cannot trade A-shares through these types of accounts:

Securities account has applied for "Share Margin Service" / "Share Trading Limit Service"

Not a securities sub-account of an integrated account

If you only maintain the above types of accounts and want to trade A-shares, you need to visit any of our branches to open an integrated account and activate the securities sub-account and RMB savings account.

You can trade A-shares through the following channels:

Hang Seng Personal e-Banking (through desktop computers, popular tablets and supported mobile handsets)

Manned Securities Trading Hotline

Designated branches

To register for Hang Seng Personal e-Banking, please visit hangseng.com and simply click "Register Now" on e-Banking logon page and you will be guided through the registration process. Please have your account number, phone ⁄ ATM PIN and HKID Card ⁄ Passport number ready for the registration.

Simply go to "Stock Connect Trading" page under "Securities", then enter order details by selecting buy or sell, inputting the stock code, price and quantity.

After verifying the transaction details and read, understood and acknowledged the Stock Connect Terms, then click "Confirm" button to continue.

Once the transaction is successful placed, you will receive a reference number, you may click "Order Status" to check the status of the transaction.

Limit order only. You can place your limit order throughout the day irrespective of SSE ⁄ SZSE trading session.

Northbound Trading follows the settlement cycle of A-shares markets.

Securities settlement: on T day

Money settlement: on T+1 day

No. Day trading is not allowed for Northbound Trading. Therefore, you can only sell the shares on or after T+1 day.

No.

No. Likewise, you cannot use the funds from selling an A-share to buy a new HK listed RMB denominated securities before its settlement.

Please click "My CNY Available Balance" button on the "Stock Connect Trading" page in Hang Seng Personal e-Banking (desktop version) to enquire your CNY balance which is available for buying A-shares. This CNY available balance does not include the floating cheque amount, unsettled funds from selling HK listed RMB denominated securities and unsettled funds from selling A-shares.

Order amendment is not allowed for Northbound Trading. If you want to amend your A-shares trading order, you have to cancel the order first and place a new order after successfully cancelled.

You may check via Personal e-Banking by selecting "Order Status" enquiry function to check the updated status of your A-shares trading order.

Your order status information in the "Order Status" and "Cancel" pages will be refreshed at the pre-set time interval defined by the Bank from time to time (i.e. preset at 10 seconds under normal circumstances) when you press the "Update" button. In other words, the order status information in the said pages will not be refreshed if you press the "Update" button more than once within the determined time interval in these pages. Please note that the above system setup has no impact to the order execution.

You can also use our Instant Order Confirmation Service to get instant notification of your order execution results through SMS via your mobile phone number.

Besides, you may also call our Manned Securities Trading Hotlines to check the order status.

Here are the explanations of the order status of A-shares trading order:

We will send you an email to your "Inbox Message" on any execution result for orders placed via Personal e-Banking. If you have enrolled to our Securities Instant Confirmation Service, the execution results will also be sent to your mobile phone in the form of a text message.

You can also check the execution details in the "Order Status" by clicking the corresponding “Details” button of the order or call the Manned Securities Trading Hotlines.

You have to pay third-party charges such as handling fee, securities management fee, transfer fee, stamp duty as well as bank charges such as brokerage fee. For details, please refer to the Securities Services Charges Table

The charges are collected in RMB. If there are insufficient funds in your RMB settlement account to settle the related fees and charges, the Bank shall have the right to collect such fees and charges in HKD from any of your HKD accounts.

Investors will not be able to buy A-shares under the following circumstances:

the A-shares cease to be a constituent stock of the relevant indices;

the A-shares are under "risk alert";

the corresponding H share of the A-shares cease to be traded on SEHK;

the Daily Quota Balance drops to zero or is exceeded;

the market capitalization is less than RMB6B for the Shenzhen A-shares.

All A-shares are subject to the same trading board lot size, which is 100 shares (buy orders must be in board lot). Odd lot trading is only available for sell orders. It is common that a board lot buy order may be matched with different odd lot sell orders, resulting in odd lot trades.

According to SEHK, investors have to sell all the odd lots in that A-share in one go. Therefore, customers are required to check their securities account to obtain the odd lots quantities held in that A-share before placing an odd lot sell order.

It should be noted that unlike Hong Kong, board lot orders and odd lot sell orders are both matched on the same platform on SSE ⁄ SZSE, and subject to the same share price. The price spread is uniformly set at RMB0.01.

For single order with large quantity over one million shares, since the market accepts order with maximum one million shares only, we will split your order into separate orders with maximum order size accepted by the market. For example, your order quantity is 2,500,000 shares. The order will be split into 3 separate orders: two with 1,000,000 shares and one with 500,000 shares for execution in the market. Please note that all small executed orders resulting from the order splitting will be consolidated as one transaction for fees and charges calculation.

Yes, the executed quantities of your buy order may involve odd lots.

Example (for illustration only):

You have placed an order to buy 200 shares of Shanghai A-share ABC and the limit price is RMB10.

Your buy order will be matched at your specified price or a price better than your specified price:

Scenario of order matching (till SSE market closes):

Under the above situation, your order is finally partial executed with 130 shares, in which 30 shares are odd lots.

Northbound Trading arrangement under severe weather conditions will be as follows:

If SSE ⁄ SZSE is suspended due to bad weather, Northbound Trading will not open.

If typhoon signal number 8 (or above) and ⁄ or black rainstorm warning is issued in Hong Kong before Hong Kong market opens, Northbound Trading will not open. If the signal ⁄ warning is subsequently discontinued on the same day, arrangement for the resumption of Northbound Trading will follow that for the SEHK market (detailed arrangement is available on the HKEX website at http://www.hkex.com.hk/eng/market/typhoons/tradingarrangement.htm).

If typhoon no. 8 (or above) is issued in Hong Kong after Hong Kong market opens but before SSE ⁄ SZSE market opens (between 9:00 a.m. and 9:15 a.m.), Northbound Trading will not open.

The Bank will continue to accept new order placement and order cancellation for 15 minutes after signal was issued. After that, the Bank will only accept order cancellation until SSE ⁄ SZSE market closed.The Bank reserves the right to amend the above operation from time to time.

The orders for Shanghai A-share trading, Shenzhen A-share trading and local stock traded in RMB trading received online during Bank's maintenance time are processed on next business day in three separate jobs. Each individual process will validate the orders by the order placement time sequence, and add cash hold accordingly. If there are insufficient funds, the order will be rejected. The Bank will notify you by means of an email sent to 'Inbox Message' in Hang Seng Personal e-Banking (desktop version) on next business day. You must check the email.

No. Shanghai-Hong Kong Stock Connect and Shenzhen–Hong Kong Stock Connect do not support IPO.

You can obtain the information at HKEX website (http://www.hkex.com.hk), such as Information Book for Investors, Frequently Asked Questions for Investors, list of eligible stocks, dissemination of quota balance, etc.

Due to system constraint, for an order executed with multiple prices, weighted average unit price will be calculated and shown on contract notes and statements. Supplementary pages will come with the contract note to show the detailed execution results. However, the fees and charges of this particular transaction will be calculated using each individual execution price and quantity.

Weighted Average Unit Price = the Total Executed Amount divided by the Total Executed Quantity

For example, you have placed an order to buy 19,500 shares at RMB15.00. The order is executed with 5 different prices:

Weighted Average Unit Price = ^288,700⁄_19,500 = 14.80512821 ≈ 14.8051

You can obtain China A-Shares real-time market information via our "A Shares Express" service for FREE. The information includes Shanghai and Shenzhen A-shares quote, Indices, Top 20, Northbound trading list and AH share performance.

Since A-shares are issued in scripless form, physical deposits and withdrawals of A-shares into ⁄ from the CCASS Depository will not be available. Hong Kong and overseas investors can only hold A-shares through their brokers ⁄ custodians.

Yes. A-shares can be transferred to the same beneficiary on a free of payment basis through CCASS.

No. The Chinese name of A-shares will only be shown in Traditional Chinese on Contract Note ⁄ Monthly statement ⁄ Notification. The information was provided by Hong Kong Exchanges and Clearing Limited and for reference only.

The bank will keep you informed of the corporate actions of A-shares, in particular those that require you to take actions (not included shareholders meeting). You should note that the time for you to take actions for some types of corporate actions of A-shares may be as short as one business day only.

Common types of corporate actions of A-shares include but are not limited to cash dividend, bonus issues and voting etc. The bank will endeavor to collect and distribute cash dividends relating to A-shares to CCASS Participants in a timely manner. Upon receipt of the dividend, the Bank will to the extent practicable arrange to distribute to the relevant you on the same day.

Besides, the bonus payment of A-shares will be paid through CCASS in the late evening on the payment day, in case the bonus payment cannot be deposit on the same day, the Bank will deposit the bonus payment into your securities account by noon on the following trading day in HK.

No, currently the Bank does not support this service. Customers have to reply the Bank before Bank's deadline and address as mentioned in the notification.

The A-shares shareholding date will be set on the day before HK holiday.

The Bank will credit the cash ⁄ scrip entitlements to you on the following business day in HK.

Dividend Tax will be charged by SAT for Cash Dividend and Bonus Issue. It will be collected based on the tax rate determined by SAT from time to time.

Except specific charges, the other charges will be the same as the Renminbi Denominated Securities Listed on Stock Exchange of Hong Kong Limited. For details, please refer to Securities Services Charges Table.

Attending the meetings in person or multiple proxies are not available in the Mainland market today. According to the existing Mainland market practice, Hong Kong and oversea investors being the beneficial owners of A-shares will not be able to attend meetings as proxy in person, as opposed to what you can do in Hong Kong if they hold SEHK-listed shares.

All approved corporate actions on A-shares will be announced by the issuers through the SSE ⁄ SZSE website and four officially appointed newspapers (both the printed paper and their websites): the Shanghai Securities News, Securities Times, China Securities Journal and Securities Daily. Hong Kong and overseas investors can visit the SSE ⁄ SZSE and newspaper websites for the latest listed company announcements.

You can also visit HKEX website's China Stock Markets Web for the company announcements of A-shares issued on the previous trading day. Hong Kong and overseas investors trading A-shares through Stock Connect should note that SSE-listed ⁄ SZSE-listed issuers will continue to publish corporate documents in Chinese only as their current practice, and English translation will not be available.

The Northbound Investor ID model is launched to facilitate the supervision and surveillance of the Northbound Trading of A shares through the Shanghai-Hong Kong Stock Connect and Shenzhen-Hong Kong Stock Connect (“Stock Connect”). In providing the Stock Connect Northbound Trading Service under this model, the Bank will be required to assign a unique “Broker-to-Client Assigned Number” (“BCAN”) to each of our Northbound trading customer / joint name account (if applicable) and provide the corresponding Customer Identification Information ("Customer Identification Information” or “CID”) to SEHK for registration with and validation by Shanghai Stock Exchange and Shenzhen Stock Exchange("Mainland Exchanges"). Customer’s Northbound orders for A shares should be tagged with the BCAN which has been validated and accepted by Mainland Exchanges. In this connection, you need to indicate your consent on agreeing the Bank to process your personal data.

26 September 2018

You have to give consent to the Bank to disclose and submit BCAN and your CID to SEHK and transmit to Mainland Exchanges for validation. If the Mainland Exchanges reject the BCAN and CID registration, all your outstanding buy orders pending for processing on next Northbound trading day will be automatically unexecuted. You must check the order status and the consent status.

You have to take below steps:

Read and understand the Stock Connect Terms

Read and understand the Supplemental Personal Information Statement for Stock Connect

Submit your consent to Stock Connect Terms (if applicable) and Processing of Customer Identification Information

For personal customer, the following customer identification information is required, subjected to change from time to time:

- Full name

- ID issuing country

- ID Type

- ID Number

You can now submit your consent via online, branches and manned securities trading hotlines.
To register online, you can submit your consent by choose “Investment” > “Other Related Services” > “ Application” > “Stock Connect Trading – Customer Consent” after logon e-Banking.

No. You are only required to give your customer consent once even if you hold multiple personal securities accounts with us. However, for joint securities account, the Bank can only process the registration with Mainland Exchanges upon obtaining the consent from all account holders.

Yes, you can amend your consent election anytime (i.e. withdraw your consent, or vice versa) and the Bank will process such request after the Bank’s next cutoff time. If you have submitted more than one consent before the Bank’s cutoff time, the Bank will act for your Northbound trading registration according to submission record time which is nearest to the Bank’s cutoff time of that Northbound trading day.

You can check your consent status for Stock Connect Terms and Processing of CID by reviewing “My Consent Status” under “Investment” > ”Securities” > ”Stock Connect Trading” through e-Banking. After receiving confirmation from Mainland Exchanges regarding your CID registration, the Bank will notify you the status about this relevant registration by updating the “Eligible for Buy and Sell” status under “My Consent Status” or via SMS to your mobile phone number recorded with the Bank.(only applicable to personal securities customers)
Please be reminded that if “Conditionally Buy and Sell” status at “Eligible for Buy and Sell” means your consent on Customer Identification Information is pending for approval from Mainland Exchanges. If Mainland Exchanges reject the consent registration, the outstanding BUY order for next Northbound trading day will be cancelled automatically.