HKEx CEO: Extended Trading Hours a Trend, But Not Necessarily Suited for Hong Kong Stocks

Gate News message, April 15 — As Nasdaq prepares to extend trading hours, Hong Kong Exchanges and Clearing (HKEx) Chief Executive Officer Edith Sithole Chen Yik-ting stated that while extended trading is an inevitable trend sought by investors, it may not be suitable for the Hong Kong stock market and requires careful consideration.

Chen noted that if HKEx extended trading hours to allow U.S. investors to trade Hong Kong stocks during their daytime, it could disadvantage local Hong Kong investors, who would be asleep at the same time and could face a significantly different market upon waking. She pointed out that HKEx’s derivatives market already trades until 3 a.m., and the exchange has the capacity to extend further, but the securities market requires cautious deliberation. Chen used the analogy of a 24-hour convenience store, emphasizing that operating hours alone are not the primary attraction—investors come for the products. She also raised concerns about executive information disclosure requirements and market integrity mechanisms, noting that Hong Kong’s strict regulatory framework on information flow and market fairness are critical considerations.

On the IPO pipeline, Chen reported that over 500 companies are queued for listing. Of the 120 companies listed on HKEx last year, approximately 50 derived over 50% of revenues from outside mainland China, which Chen classified as “Chinese multinational enterprises.” HKEx welcomed companies headquartered in Thailand, Singapore, and Dubai last year, and over 10 international companies are already queued for listing this year. Chen highlighted strong interest from international investors—including those from North America, Europe, the Middle East, and other Asian regions—in cornerstone investments, indicating that global investors recognize significant underinvestment in China and Asia and are working to catch up.