1. HK stock trading hours
Trading takes place from Monday-Friday at the following times.
Session |
Full-day trading |
Half-day trading |
|
Auction |
Pre-opening |
9:00-9:30 |
|
Continuous trading |
Morning |
9:30-12:00 |
|
Afternoon |
13:00-16:00 |
Not applicable |
|
Auction |
Closingare |
16:00 to a random close between 16:08 and 16:10 |
12:00 to a random close between 12:08 and 12:10 |
Note: There is no continuous morning or afternoon session on Christmas Eve, New Year's Eve, or Chinese New Year's Eve. If there is no morning session on a given day, there will also be no continuous morning session that day. Since 2024, HKEX has implemented Severe Weather Trading arrangements. The Hong Kong securities and derivatives markets (including Stock Connect, derivatives holiday trading, and after-hours trading sessions) will no longer be affected by weather conditions and will operate on the established trading calendar. In extremely exceptional circumstances, HKEX's latest announcements shall prevail.
2. HK stock board lot size and price rules
The minimum trading unit for HK stocks is 1 board lot. The number of shares per lot is determined by the stock's price, and a board lot may be 100, 500, 1,000, or 2,000 shares. For example, one board lot of Tencent Holdings is 100 shares, while one board lot of BYD is 500 shares. Any holding smaller than a full board lot is called an "odd lot." For example, if the board lot for Tencent Holdings is 100 shares and you hold 150 shares, the remaining 50 shares are an odd lot. Odd lots are typically created when a company distributes bonus shares or conducts a rights issue.
The minimum spread for HKEX securities varies by security type and price range. Refer to the latest version of the spread table published by HKEX: HKEX Rules of the Exchange: Second schedule (official).
3. HK stock price limit
Like the US stock market, the Hong Kong stock market doesn't have a 10% daily price limit (there's no up/down limit system).
4.HK stock intraday trading
HK stocks trade on a T+0 basis, so shares bought on a given day can be sold the same day. There is no limit on the number of T+0 trades for either HK stocks or US stocks.
5. HK stock margin financing
HK stocks can be traded on margin.
6. What is HK stock short selling
Short selling is the most basic way to take a short position on a HK stock, and is the opposite of going long. When an investor doesn't hold a particular stock but believes its price will fall, they can pledge cash or securities in their account as collateral, borrow the stock from a broker, and sell it. When the price falls, they buy back the same quantity of the stock at the lower price and return it to the broker, profiting from the difference between the higher sell price and the lower buy price.
7. Stock borrowing interest
Because the shares an investor sells are borrowed from the broker, interest must be paid to the broker (accruing from T+2 of the short sale trade).
Stock borrowing interest = Collateral amount × Daily stock borrowing rate
Collateral amount = Closing price × 105% (rounded up) × Number of shares held
The short-selling rate for individual HK stocks is dynamic. It adjusts based on the stock's risk level, liquidity, and how easy it is to borrow (i.e., how many shares are available to lend). When a stock is highly volatile or heavily shorted, the borrowing rate rises and can sometimes exceed 100%. Generally, when a stock's price is stable and there is ample supply in the lending pool, the rate stays relatively low and stable.
8. Supported order types for HK stocks
Supported: At-auction order, At-auction limit order, Market order, Limit order, Stop loss order, and Stop limit order. At-auction orders and At-auction limit orders are explained below. For other order types, see the stock trading help page: Order types
At-auction order:
- 9:00–9:20 HKT: Orders can be placed or amended
- 9:20 HKT: HKEX processes all at-auction orders together
- 9:30 HKT: Unfilled orders are automatically cancelled
At-auction limit order:
- 9:00–9:15 HKT: Orders can be placed or amended (Orders placed between 9:15–9:20 will be automatically cancelled at 9:30)
- 9:20 HKT: HKEX processes all at-auction orders together
- 9:30 HKT: Unfilled orders remain on the exchange
Note: Some at-auction limit orders placed during the auction session, once carried over into the continuous trading session, may be automatically cancelled after modification, depending on whether HKEX accepted the order during the auction session.
9. HK stock settlement and delivery
HK stocks settle on a T+2 basis. For shares traded today, the broker and clearing house complete fund and stock settlement on the second business day after the trade.
10. Corporate actions
A corporate action refers to an event announced by a listed securities issuer that directly or indirectly affects changes to the listed security, thereby affecting the rights of shareholders holding that security.
Common corporate actions include dividend distributions, bonus share distributions, rights issues, privatizations, and share subdivisions/consolidations.
1）Cash dividend
A cash dividend is a dividend or bonus paid in cash and is the most common and basic form of dividend. Cash paid to shareholders generally comes from the company's current earnings or accumulated profits.
2）Bonus issue
A bonus issue is a dividend or bonus paid in the form of securities. Issuing bonus shares is one way a listed company carries out a capitalization issue. A capitalization issue further allocates securities to existing shareholders in proportion to the securities they currently hold.
3）Rights issue
A rights issue is a way for a listed company to raise capital by offering existing security holders the right to subscribe for securities in proportion to their current holdings. When a company announces a rights issue, existing shareholders receive rights. If a shareholder does not want to subscribe, they can sell their rights on the market (only tradable rights can be sold; non-tradable rights can't be sold) or simply let the rights lapse.
4）Privatization
Privatization is usually proposed by a controlling shareholder, who buys out all shares held by other minority shareholders using cash or securities with a cash alternative. A listed company can complete privatization through a "general offer" or a "scheme of arrangement." If privatization succeeds, the listed company will apply to the Stock Exchange to withdraw its listing.
5）Share subdivision, consolidation, and conversion
Share subdivision, consolidation, and conversion all involve exchanging existing listed securities for new securities. A share subdivision splits existing eligible securities into "new" shares with a lower nominal value. A share consolidation combines a number of existing eligible securities into one "new" share with a higher nominal value.
6）Warrant conversion
A warrant holder has the right, during the exercise period or on a specified exercise date, to either subscribe for a specified quantity of securities at the "subscription" price, or exercise the warrant at the "exercise price" and receive the resulting proceeds. Warrant conversion means exchanging the warrant for that quantity of securities at the subscription price.
11. Use of price bands when processing orders
Regulators expect brokers to have controls in place that stop orders which could disrupt the market, such as causing sudden price swings, from reaching the market. Based on this regulatory obligation, the executing broker may set a price cap on buy orders and a price floor on sell orders.
Please note that while this price limit is intended to minimize price risk while maximizing the chance an order is executed, it may result in delayed execution or failure to execute.