Bonnie Chan: Consultations to be launched on optimizing listings for specialist technology companies and GEM, and accelerating the move toward T+1 settlement.

HKEX (00388) Chief Executive Officer Bonnie Chan said that HKEX is conducting the second phase of consultation on enhancing the competitiveness of its listing regime, proposing to optimize rules governing discloseable transactions, connected transactions and spin-offs, reduce compliance costs, and increase the flexibility of listed companies for mergers and acquisitions, restructuring and business spin-offs. In the future, consultations will be launched on optimizing the listing regimes for specialist technology companies and GEM. In addition, to enrich product offerings and enhance liquidity, HKEX encourages the issuance of different types of ETF products and has been aggressively expanding into the index business. It has also accelerated the pace of derivatives development, with 38 new weekly stock options added year-to-date, and 12 additional stock option classes to be added in November, while simultaneously offering stock option contracts with weekly and monthly expiries. In the future, it will continue to develop more stock indices and launch more short-dated stock options, thematic futures and options, etc. In terms of enhancing trading efficiency and market liquidity, HKEX is currently consolidating market views on shortening the settlement cycle for the stock market, hoping to lead the industry toward a T+1 settlement cycle as soon as possible and improve the capital efficiency of the Hong Kong stock market. At the same time, HKEX and its mainland partners are preparing to include real estate investment trusts (REITs) in Stock Connect and to include RMB stock counters in Southbound Stock Connect, hoping to further broaden the investment scope of Stock Connect. As for RMB fixed-income assets, as of September 24, the issuance scale of dim sum bonds listed on HKEX this year has reached RMB 266.9 billion, up 14% year-on-year, and the issuance scale is expected to hit a new high this year. In addition, HKEX is actively preparing the first offshore RMB bond index. In terms of commodities, the number of LME-approved delivery warehouses in Hong Kong has increased to 19, and the use of offshore RMB as collateral has been further optimized. On infrastructure, HKEX is applying artificial intelligence to market surveillance and compliance supervision of listed companies, among other areas, to enhance operational efficiency. On payments, it is working with the Hong Kong Monetary Authority on a pilot project to use the "e-HKD" for payment of pre-paid margin during the after-hours trading session, enhancing the risk management capability of the derivatives market during bank non-business hours. The authorities will also work closely with the HKMA to accelerate the commercialization, internationalization and modernization of CMU, upgrade the Central Moneymarkets Unit (CMU), and promote interconnection between the central securities depository platforms for local stocks and bonds for new listings, unlocking the potential for cross-asset synergies.