Chinese-funded Hong Kong stocks are expected to hit a new high in the second quarter of dividends.

Chinese-funded companies listed in Hong Kong are about to welcome an early peak dividend season this year, with a significant increase in dividends in the first half of the year compared to previous years when they were mainly concentrated in the third quarter. Data shows that as of April 30, the total amount of dividends planned to be paid in the second quarter by Chinese-funded Hong Kong stocks this year reached $36.1 billion, the highest for the same period since records began. In contrast, the total amount of dividends planned for the third quarter is only $23.2 billion - even if the approximately $8.6 billion that has not been confirmed yet is considered, the dividend amount for the third quarter is significantly lower compared to previous years. "The early release of mid-term dividends in the first quarter has reduced the demand for dividends later in the year, which means that the amount of dividends in June to August this year may be lower than in previous years, and the pressure on the exchange rate will correspondingly decrease," said Zhang Meng, a foreign exchange strategist at Barclays Bank in Singapore. This not only means that the depreciation pressure on the renminbi due to dividend repatriation will decrease in the middle of the year, but also that the upward pressure on the Hong Kong dollar will decrease.