Hong Kong Exchanges and Clearing Limited (HKEx) has announced the following details of the holiday risk management arrangements.
HSI, MHI, HHI, MCH, DHH and CUS Futures Markets
The margin levels of H-shares Index (HHI) and Mini H-shares Index (MCH) futures contracts will be temporarily increased after 4:15 pm on Tuesday, 23 December 2014 as outlined in the table below:
Futures Contract |
Full Margin Rate |
Initial Margin |
Maintenance Margin |
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HHI |
Current Level |
44,050 |
per lot |
35,250 |
per lot |
Temporarily Increased Level |
44,750 |
per lot |
35,800 |
per lot |
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MCH |
Current Level |
8,810 |
per lot |
7,050 |
per lot |
Temporarily Increased Level |
8,950 |
per lot |
7,160 |
per lot |
The spread margin rates will remain unchanged during this period. The margin levels of HHI, and MCH futures contracts will be restored to the current levels after 12:00 noon on Wednesday, 24 December 2014.
The margin levels of Hang Seng Index (HSI), Mini-Hang Seng Index (MHI), HSCEI Dividend Point Index (DHH) and RMB Currency (CUS) futures contracts will remain unchanged.
There will be mandatory intra-day variation adjustment calls in the HSI, MHI, HHI, MCH, DHH and CUS futures markets on 24 December 2014 at around 12:00 noon.
As there will be no after-hours futures trading session on 24 December 2014, no mandatory intra-day variation adjustment and margin call will be made by the Clearing House on the business day after the holiday, ie Monday, 29 December 2014.
Stock Options Market
The margin intervals for all options classes will be increased temporarily after the close of business on 23 December 2014 (see Appendix). The margin intervals will be restored to normal after 12:00 noon on 24 December 2014.
There will be special intra-day margin calls on 24 December 2014 in respect of all open positions in the stock options market at around 12:00 noon.
The above arrangements are based on the clearing houses' normal procedures. Exchange Participants have been advised to give advance notice to their clients regarding the arrangements where appropriate.
Appendix
Stock Options Classes |
Client Margin Intervals |
Temporary Client Margin Intervals (%) |
iShares FTSE A50 China Index ETF |
12 |
12 |
Agricultural Bank of China Limited |
7 |
8 |
Anhui Conch Cement Company Limited |
7 |
8 |
AIA Group Limited |
6 |
7 |
Aluminum Corporation of China Limited |
9 |
10 |
ChinaAMC CSI 300 Index ETF |
11 |
11 |
Bank of China Limited |
8 |
8 |
Bank of Communications Co., Ltd. |
11 |
11 |
The Bank of East Asia, Limited |
6 |
6 |
Belle International Holdings Limited |
7 |
11 |
BOC Hong Kong (Holdings) Limited |
6 |
8 |
BYD Company Limited |
12 |
15 |
China Construction Bank Corporation |
8 |
9 |
China Communications Construction Company Limited |
14 |
14 |
China Coal Energy Company Limited |
9 |
12 |
China COSCO Holdings Company Limited |
11 |
13 |
China Cinda Asset Management Co., Ltd |
10 |
13 |
China Mobile Limited |
7 |
8 |
China Unicom (Hong Kong) Limited |
8 |
9 |
CITIC Limited |
7 |
9 |
Cheung Kong (Holdings) Limited |
6 |
8 |
China Life Insurance Company Limited |
11 |
12 |
CLP Holdings Limited |
6 |
6 |
China Merchants Bank Co., Ltd. |
10 |
11 |
CNOOC Limited |
10 |
13 |
China Overseas Land & Investment Limited |
9 |
12 |
Cathay Pacific Airways Limited |
7 |
9 |
China Petroleum & Chemical Corporation |
9 |
11 |
China Pacific Insurance (Group) Co., Ltd. |
12 |
14 |
China Railway Construction Corporation Limited |
11 |
24 |
China Railway Group Limited |
10 |
11 |
China Resources Land Ltd. |
10 |
12 |
W.I.S.E. - CSI 300 China Tracker |
12 |
12 |
CSOP FTSE China A50 ETF |
13 |
13 |
China Shenhua Energy Company Limited |
9 |
11 |
China CITIC Bank Corporation Limited |
10 |
11 |
China Telecom Corporation Limited |
9 |
10 |
Dongfeng Motor Group Co. Ltd. |
8 |
9 |
Esprit Holdings Limited |
9 |
11 |
FIH Mobile Limited |
6 |
7 |
Galaxy Entertainment Group Limited |
12 |
17 |
Great Wall Motor Co. Limited |
10 |
14 |
Haitong Securities Co., Ltd. |
21 |
26 |
Power Assets Holdings Limited |
6 |
7 |
Hong Kong Exchanges and Clearing Limited |
8 |
11 |
Hengan International Group Co. Ltd. |
6 |
6 |
HSBC Holdings Plc. |
6 |
6 |
The Hong Kong and China Gas Company Limited |
6 |
6 |
Henderson Land Development Company Limited |
6 |
6 |
Huaneng Power International, Inc. |
8 |
10 |
Hang Seng Bank Limited |
6 |
6 |
Hutchison Whampoa Limited |
6 |
7 |
Industrial and Commercial Bank of China Limited |
8 |
9 |
Jiangxi Copper Company Limited |
10 |
12 |
Kunlun Energy Co. Ltd. |
10 |
12 |
Kingsoft Corporation Ltd. |
11 |
14 |
Lenovo Group Limited |
8 |
10 |
Li & Fung Limited |
6 |
8 |
China Mengniu Dairy Co. Ltd. |
8 |
11 |
MGM China Holdings Limited |
9 |
11 |
China Minsheng Banking Corporation Limited |
11 |
12 |
MTR Corporation Limited |
6 |
6 |
China National Building Material Company Limited |
6 |
6 |
New World Development Company Limited |
6 |
6 |
Ping An Insurance (Group) Company of China, Ltd. |
10 |
11 |
PetroChina Company Limited |
10 |
12 |
PICC Property and Casualty Company Limited |
9 |
11 |
The People's Insurance Company (Group) of China Ltd. |
11 |
12 |
GCL-Poly Energy Holdings Ltd. |
18 |
19 |
Guangzhou R&F Properties Co., Ltd. |
10 |
13 |
Sands China Ltd. |
10 |
14 |
Sun Hung Kai Properties Limited |
6 |
6 |
Standard Chartered PLC |
7 |
9 |
Swire Pacific Limited 'A' |
6 |
6 |
Tencent Holdings Limited |
6 |
9 |
Tracker Fund of Hong Kong |
6 |
6 |
The Wharf (Holdings) Limited |
6 |
6 |
Want Want China Holdings Ltd. |
6 |
7 |
Yanzhou Coal Mining Company Limited |
11 |
14 |
Zijin Mining Group Company Limited |
9 |
11 |