HEADLINE Shanghai-London stock connect to launch this year: central bank chief

HEADLINE

Shanghai-London stock connect to launch this year: central bank chief

By Qu Qiuyan | People's Daily app

10:50, April 11, 2018

VCG111149997538.jpg

PBC governor Yi Gang attended a sub forum at the Boao Forum for Asia 2018 on Wednesday. (Photo: VCG)

The preparation work of the Shanghai-London stock connect is being conducted thoroughly and is expected to be rolled out in 2018, said Yi Gang, governor of the People’s Bank of China, at a sub-forum of the Boao Forum for Asia 2018 on Wednesday.

Most of the measures for China’s financial opening-up would have been in place by June 30, said Yi at the “Normalization of Monetary Policy” sub-forum.

The mode of the Shanghai-London stock connect will be different from that of the Shanghai-Hong Kong stock connect, business news website yicai.com reported in January.

The report says the Shanghai-London stock connect is a cross-boundary investment channel, which requires a special mechanism that allows Chinese investors to buy stock in the London market during non-trading hours due to time zone differences.

China's A-share market uses a T+1 transaction mechanism, while stock markets in Europe and the US use a T+0 transaction mechanism.

Solving the problem caused by transaction mechanism differences is a top priority when conducting cross-boundary transactions, said Fang Fang, vice-director of Shanghai Stock Exchange's transaction department, China Daily reported. 

Related Stories

Terms of Service & Privacy Policy

We have updated our privacy policy to comply with the latest laws and regulations. The updated policy explains the mechanism of how we collect and treat your personal data. You can learn more about the rights you have by reading our terms of service. Please read them carefully. By clicking AGREE, you indicate that you have read and agreed to our privacy policies

Agree and continue