[HONG KONG] The Hong Kong stock exchange plans to slash the fees it charges for trading mainland China shares via Stock Connect, starting from next month, subject to approval from regulators.
The announcement comes at a difficult time for the scheme, which has seen trading volumes decline and acceleration in sales of mainland China shares following a dramatic sell-off in markets on the mainland.
In a customer notice published on its website on Tuesday, the Hong Kong Exchanges and Clearing said it will reduce the handling and transfer fees. The transfer fee will also be waived for six months.
The new rates, and the waiver, take effect on August 3, subject to the approval of the Securities and Futures Commission, the exchange said in the notice. HKEx officials were not immediately available for comment.