Report post

Why do Chinese companies need a a share market?

To calm the market, Chinese regulators require companies to have solid cash flow and earnings for listing on the domestic market, known as the A shares market. That’s not needed for an I.P.O. in the more laissez-faire United States.

Is China a good place to buy a-shares?

As China grows from an emerging market to an advanced economy, there is substantial demand for Chinese equity. Stock exchange regulators continue efforts to make A-shares more broadly available to foreign investors and have them recognized by the global investing community.

How many large-cap a-shares are in the Chinese market?

In 2018, the same index held 32.72% in the Chinese market. 4 In February 2019, the firm announced it was increasing its weight of large-cap A-shares from 15% to 20% by November 2019—a move it said was well-received by investors. By the end of the move, the firm said it would have 253 large-cap and 168 midcap A-shares in the index. 5

What is a B-share & H-share in Hong Kong?

These stocks trade in yuan renminbi (CNY). B-shares are Domestically Listed Foreign Investment Shares. They list on the Shenzhen and Shanghai exchanges, and trade in foreign currencies. H-shares, traded on Hong Kong's exchanges, are regulated by Chinese law and are freely tradable by anyone. These shares trade using the Hong Kong dollar (HKD).

Related articles

The World's Leading Crypto Trading Platform

Get my welcome gifts