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Hong Kong Exchanges and Clearing (HKEx), which operates the city's stock exchange, said a two-day test of trading systems linking the local market and brokerages with Shanghai's stock exchange went "smoothly," paving the way for further tests in coming weeks.
The so-called Shanghai-Hong Kong Stock Connect scheme is expected to start in October, with no fixed date announced. Testing on Saturday and Sunday "has been completed smoothly and all the planned scenarios in the rehearsal were covered," HKEx said on its website.
The tests involved trading, clearing and settlement both into the Shanghai and Hong Kong markets, it added. The Hong Kong and Chinese governments agreed in April to allow international investors to trade Shanghai shares via the Hong Kong stock exchange, while mainland investors will be able to trade Hong Kong shares via the Shanghai Stock Exchange, subject to quotas both ways. HKEx said that 97 exchange participants accounting for 80 percent of total market turnover took part in the first round of tests, with another round slated for September 13.

Copyright Reuters, 2014

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