Hong Kong SFC Studies Extending Trading Hours, Plans to Initially Implement It in the Derivatives Market
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AT A GLANCE
Hong Kong is studying an extension of securities trading hours, plans to initially implement it in the derivatives market, and advance T+1 settlement.
Article
Hong Kong SFC: Plans to Extend Securities Trading Hours, Initially to Be Implemented in the Derivatives Market
PANews October 10 reported, citing the Shanghai Securities News, that Ashley Alder, Chief Executive Officer of the Hong Kong SFC,October 9 at the Asia Securities Industry & Financial Markets Association (ASIFMA) conference, said that Hong Kong is studying an extension of securities trading hours and will initially implement it in the derivatives market. Hong Kong Exchanges and Clearing will publish a discussion paper in the fourth quarter on extending trading hours in the cash market. In addition, Hong Kong will shorten the settlement cycle to T+1, and HKEX will publish a consultation conclusion in the near term. Ashley Alder disclosed that the first phase of the measures to narrow bid-ask spreads launched 1 years ago covered 300 stocks, narrowing bid-ask spreads by 38%and shortening trade execution times by 26%; preliminary results from the second phase showed that spreads narrowed by approximately 30%. She noted that extended trading hours would be accompanied by measures such as settlement using tokenized money and the digital Hong Kong dollar.
Ashley Alder October 9 said at the Asia Securities Industry & Financial Markets Association conference that Hong Kong is studying an extension of securities trading hours.
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The extension of trading hours is planned to be implemented first in the derivatives market.
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Hong Kong Exchanges and Clearing will publish a discussion paper in the fourth quarter on extending trading hours in the cash market.
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Hong Kong will shorten the settlement cycle to T+1, and HKEX will publish a consultation conclusion in the near term.
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The first phase of the measures to narrow bid-ask spreads covered 300 stocks, narrowing bid-ask spreads by 38%and shortening trade execution times by 26%; preliminary results from the second phase showed that spreads narrowed by approximately 30%。
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Ashley Alder said that the extension of trading hours would be accompanied by measures such as settlement using tokenized money and the digital Hong Kong dollar.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
This news concerns potential adjustments to trading and settlement arrangements in Hong Kong's securities market: the market may be open for longer, with the derivatives market planned to go first; the settlement cycle after securities trades are completed will be shortened to T+1. The extension of trading hours remains at the research, discussion, or consultation stage and should not be regarded as having been implemented.
Why it matters to readers
If the relevant arrangements are implemented, trading hours and the settlement pace in Hong Kong's securities and derivatives markets will change. Tokenized money and the digital Hong Kong dollar were also mentioned as supporting settlement measures.
Beginners should pay attention to the final rules and implementation date rather than adjust their trading plans solely based on the proposed measures.T+1 indicates that settlement takes place on the next trading day after the trade is completed.
Risks and unknowns
The original text does not specify the exact scope, rules, or implementation date for extending trading hours in the derivatives market.
Trading hours in the cash market remain subject to the discussion paper; the final plan has not yet been determined.
The original text does not provide the specific implementation timeline for T+1 settlement.
The specific plan, participating institutions, and launch timeline for the settlement of tokenized currency and the digital Hong Kong dollar have not been disclosed.
Related Developments
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The news was reported by PANews, citing the Securities Times; the original text does not provide the full text of the conference remarks or regulatory documents.
Related concepts
Derivatives
This term is not in the glossary yet. Browse related concepts in the glossary.
