The Shanghai-Hong Kong Stock Connect, a landmark mutual market access program connecting Hong Kong and mainland equity capital markets, celebrated its seventh anniversary on November 17.
The Shanghai-Hong Kong Stock Connect was launched on November 17, 2014, while Shenzhen-Hong Kong Stock Connect was launched two years later on December 5, 2016, giving mainland and international investors direct access to each other's market for the first time.
Data released by the Hong Kong Exchanges and Clearing Limited (HKEX) showed that as at November 10, 2021, average daily turnover of northbound trading reached 122.3 billion yuan in 2021, representing year-on-year growth of 35 percent, while average daily southbound turnover reached 44.1 billion Hong Kong dollars in 2021, up 87 percent from the same period last year.
As at November 10, 2021, cumulative Northbound Stock Connect turnover since seven years ago totaled 64.0 trillion yuan, resulting in a net capital inflow into the A-share market of 1.5 trillion yuan, while 23.1 trillion Hong Kong dollars of shares were traded on the southbound leg, bringing a net capital inflow of 2.1 trillion Hong Kong dollars into the Hong Kong market, according to the data.
Mainland investors held 2.2 trillion Hong Kong dollars worth of Hong Kong-listed shares through Stock Connect as at November 10, 2021, up from 13.1 billion Hong Kong dollars at the end of 2014, the data showed.
The HKEX said it has worked closely with its mainland exchange partners in recent years, enhancing and expanding Stock Connect to benefit Hong Kong, mainland and international investors.
The HKEX looks forward to working closely with the mainland stock exchanges, regulators, its customers and the broader market on bringing even more opportunities to companies and investors in connecting China, connecting the world, it added. (1 U.S. dollar equals 7.79 HK dollars, or 6.38 yuan)