What is the Hong Kong stock market?
Also known as the Hong Kong Stock Exchange (HKEX), it is one of the leading financial markets in Asia and a significant global stock exchange. It provides a platform for companies to raise capital by issuing and trading securities. The HKEX consists of the Main Board, which lists established companies, and the Growth Enterprise Market (GEM), which caters to smaller and emerging companies.
You can find various types of securities in the HKEX including equities such as common and preferred shares, exchange-traded funds (ETFs), real estate investment trusts (REITs), and derivative products like warrants.
Why should I invest in the Hong Kong stock market?
Known as the fifth largest stock exchange in the world, investing in Hong Kong stocks can be an attractive option for investors looking to diversify their portfolios while gaining exposure to the fast-growing Asian markets. From big companies like Alibaba, Xiaomi, Tencent and etc., you get the opportunity to leverage your investments even further.
Moreover, the HKEX ranks as one of the top exchanges for companies that want an initial public offering (IPO). The average daily trading volume in the Hong Kong stock market is approximately 121 times larger than that of the Malaysia stock market, which means the trading volume of 3 days in the Hong Kong stock market is almost 1 year from that in Malaysia.
The table below shows the market comparisons between different countries.
| Market | HK | US | MY | SG |
| Daily Average Turnover (USD Million) | 15,744 | 570,200 | 636 | 917 |
| Number Of Stocks Listed | 3,000+ | 7,000+ | 990+ | 640+ |
| Representative Listed Companies | Tencent, Alibaba, Mei Tuan, AIA, HSBC | Apple, Microsoft, Google, Tesla, Nvidia | Maybank, Public Bank, Petronas Chemicals, IOI Corp, Maxis | DBS Group, OCBC Bank, UOB, Singtel, Wilmar |
| Major Stock Index | Hang Seng Index | Dow Jones, S&P 500, NASDAQ Composite Index | FBM KLCI Index | Straits Time Index |
| 20-Year Market Growth Rate | 74% (Hang Seng) | 233% (S&P 500) | 119% (FBM KLCI) | 98% (Straits Time) |
| Price Limit Per Day | No limit | No limit | Price above RM1, maximum price limit capped at 30% | 10% |
| Popular Tradable Products | Stocks, ETFs, CBBCs, Warrants | Stocks, ETFs, REITs, Options | Stocks, Warrants | Stocks, Warrants |
| Popular Exchange Traded Funds (ETFs) | Currency ETFs, BTC & ETH ETFs, Index ETFs, 2800.HK, 2822.HK, etc | SPY, QQQ, IWM, EFA, VTI, BND, IJH, etc | 0823EA, EWM | ES3, EWS |
| Trading Hours (GMT +8) | Pre-open: 9AM - 9.30AM Continuous trading: 9.30AM - 4PM |
Pre-market: 4PM - 9.30PM Regular market: 9.30PM - 4AM Post-market: 4AM - 8AM |
Pre-open: 8.30AM - 9AM Continuous trading: 9AM - 12.30PM and 2PM - 5PM |
Pre-open: 8.30AM - 9AM Continuous trading: 9AM - 12PM and 1PM - 5PM |
Is it safe to invest in the Hong Kong stock market?
Of course. The Hong Kong Securities and Futures Commission (SFC) regulates the Hong Kong stock exchange to help maintain market integrity and transparency, with a strong legal framework and commitment to maintaining high standards of corporate governance.
How can I start trading in the Hong Kong stock market?
You can choose to start trading in the Hong Kong stock market by opening an overseas trading account through a local or foreign stockbroker. Nowadays, you can also open a trading account online which is more convenient and not to mention, cheaper.
Take M+ Global for example. This online trading platform offers you easy access to investing in the Hong Kong stock market simply by downloading its mobile app available at Google Play Store, Apple App Store or Huawei AppGallery. With a minimum deposit of RM100, you can already register and set up your account in under 10 minutes.
Why should I invest with M+ Global?
M+ Global comes with distinctive features that will make your Hong Kong trading experience a seamless one.
- You can find various trading instruments in one mobile app
Depending on your preference, M+ Global offers you a wide range of instruments from Hong Kong such as stocks, ETFs, warrants and Callable Bull/Bear Contracts (CBBCs). With diversity comes a better chance for you as an investor to increase your investment growth.
- You can apply for a margin facility when needed
With a margin account, M+ Global allows you to borrow funds to buy additional stocks or investment products. This way, you may leverage your investments and potentially increase your potential gains.
- You get real-time market data
In the M+ Global mobile app, you can use this feature to review the overall performance of a stock index of your preference such as the Hang Seng Index, for example. Real-time data are crucial as they will make or break your investment decisions before you place a trade or proceed to make any transaction.
- You can manage your trading activities anytime and anywhere
Whichever stocks caught your attention, for example, Tencent or Alibaba, you can add to the ‘Watchlists’ feature on the M+ Global app. You may list as much as you want in it. And from there, you’ll be able to view quotes data, news and the financial profile of each stock saved.
- Low brokerage fees and commission charges
M+ Global offers you brokerage fees as low as 0.10% of the Trade Value with a minimum commission charge of as low as HK$ 18.00.
Other features include hassle-free currency management where you can trade in the Hong Kong stock market using a Ringgit Malaysia deposit, plus free deposit and withdrawal fees. There are two features that are coming soon though: Initial Public Offering (IPO) and Option Trading; so don’t miss out on the announcements by M+ Global.
What are the eligibility criteria to open an account with M+ Global?
Anyone aged 18 years and above with a Malaysian bank account is eligible to open an account with M+ Global.
How to open an M+ Global account?
Opening an M+ Global account is simple and straightforward. Follow the steps below.
Step 1:
First, you must prepare these required documents.
- Your IC or Passport if you're a foreigner
- A Malaysian bank account, plus online banking (with a minimum balance of RM11)
- Salary slips/Form B or BE/Provident fund statements from the past 3 months
Step 2:
Next, download the M+ Global mobile app available in these 3 app stores:
- Google Play Store
- Apple App Store
- Huawei AppGallery
Step 3:
Register for an account by simply entering your mobile number or email address for identity verification. Then, you can set up a login password.
Step 4:
Once you have registered an account, you can proceed to apply for an account opening.
- In the app, find the "Account" page and click "Get started".
- Next, enter your contact information
- Choose or select the market and account type to your liking
- Start the authentication process and complete the CTOS authentication
- Then, enter your personal particular, employment details and financial profile
- After that, provide your investment and taxation details, and accept the necessary declarations
- Review and accept the agreement, and then sign it
- Lastly, pay the account opening fee of RM11 and submit for approval
Click here to check out the guidelines provided by M+ Global.
Once your account is set, you may start to add any desired stocks to your ‘Watchlists’, deposit funds and start trading right away!
Should you have any questions regarding the account or anything else, you can reach the M+ Global team at their social media accounts or their official website.
Disclaimer: Trading and/or investment involve substantial risks, and the decision to engage in such activities is solely at your own discretion and is not affiliated with or attributable to RinggitPlus.
