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The Hong Kong Market will implement Closing Auction Session (CAS) on 25 July 2016.
For more details, please go to Hong Kong Exchange's website:
http://www.hkex.com.hk/cas/en/index.htm
https://www.hkex.com.hk/eng/market/sec_tradinfra/vcm_cas/vcm_cas.htm
Key Highlights:
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Trading hours extended for 10 minutes after 4pm for a closing auction |
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Closing time will change from 4pm to a random closing of anytime between 4.08pm and 4.10pm |
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Can trade by specifying a limit price (i.e. at-auction limit order) or trade directly at the closing price (i.e. at-auction order) |
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The price that the highest volume can be traded will be the closing price |
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Applicable to constituents of Hang Seng Composite LargeCap and MidCap Indexes, A+H shares and all ETFs |
The Hong Kong Market will be implementing a Volatility Control Mechanism (VCM) on 22 August 2016.
For more details, please go to Hong Kong Exchange's website:
http://www.hkex.com.hk/vcm/en/index.htm
http://www.hkex.com.hk/eng/market/sec_tradinfra/vcm_cas/vcm_cas.htm
Objectives of VCM
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Prevent extreme price volatility arising from trading incidents such as the “Flash Crash” and algorithm errors |
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Contain systemic risks caused by interlinked products in the securities and derivatives market |
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Maintain a fair and orderly market |
Key Highlights
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VCM triggered a 5-minute cooling-off period if a stock (futures contract) is ±10% (±5%) away from the last traded price 5 minutes ago |
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VCM covers 81 HSI & HSCEI constituent stocks and 8 related index futures contracts |
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Applies to the morning and afternoon continuous sessions excluding the first 15 minutes of both sessions and the last 15 minutes of the afternoon session. |
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