Multiple Brokers | - Onshore
- Can notify custodian to conduct FX conversion 30 working days prior to actual investment
| Offshore |
Injection Period | SAFE may revoke part or all of its unused investment quota if QFII/RQFII fails to effectively utilize the quota within 1 year since filing or approval |
Repatriation | - Open-ended funds: daily remittance or repatriation for net amount of subscription and redemption
- Other products or assets: no restriction in remittance or repatriation frequency
- For repatriation of profit, need to obtain tax clearance and audit financial report for profit
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Trading Restrictions | - Buy/sell the same stock on the same day that might lead to unfair transaction or transfer of interest is prohibited
- Short-selling is prohibited
- Same-day turnaround trade is prohibited in exchange market except for bonds and warrants
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Foreign Ownership Limit | - Shareholding by a foreign investor in a single listed company shall not exceed 10% of the total number of shares of the listed company
- Aggregate shareholding of A shares by all foreign investors in a single listed company shall not exceed 30% of the total number of shares of the listed company
- Foreign ownership limitation shall be monitored at combined QFII and RQFII level
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Eligible Investors | - Institutional investors with QFII/RQFII Licenses
- QFII: certain type of institutional investors with certain AUM and operation experience
- RQFII: institutional investors meet general operation and compliance requirements
- Entry requirements to be simplified and unified, quantitative criteria to be cancelled
| All Hong Kong and overseas institutional and individual investors |
Investment Scope | - Primary and secondary market, including the SSE STAR Market
- Almost all exchange-listed or traded financial products, including equities, bonds, funds, futures and derivatives
- Further investment scope expanding under evaluation
| - Secondary market only, excluding the SSE STAR Market
- Eligible A shares listed in SSE and SZSE
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Quota Control | - Individual-level quota
- Filing and approval required
- Quota limitation and approval management to be abolished
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Key Features | - Onshore mechanism
- Close to domestic institutional investor treatment with access to wide range of financial products
| - Offshore mechanism
- Relatively flexible with limited range of eligible financial products
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