HKEX Consultation Paper on Derivatives Holiday Trading
Release Date: 2021-12-06
Q1: Do you have any comments or concerns on:
Question 1(i)
the proposed trading arrangements?
Response: Yes
If "Yes," please explain your comments/suggestions:
There is a concern regarding margin calls during holiday periods, as banks are closed, which poses challenges for clients attempting to transfer funds to financial institutions.
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Question 1(ii)
the proposed clearing arrangements?
Response: Yes
If "Yes," please explain your comments/suggestions:
It is advisable to retain the existing settlement arrangements without any modifications.
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Question 1(iii)
the proposed risk management arrangements
Response: Yes
If "Yes," please explain your comments/suggestions:
It is recommended to enhance staffing levels to ensure the seamless operation of computer systems.
---
Question 1(iv)
the proposed market data arrangements
Response: Yes
If "Yes," please explain your comments/suggestions:
It is suggested to maintain the current arrangements for daily market data.
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Question 1(v)
the proposed large open position reporting arrangements
Response: Yes
If "Yes," please explain your comments/suggestions:
It is recommended to continue with the existing daily reporting arrangements for large open positions.
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Question 2
Are there any other issues regarding the arrangements of Holiday Trading that you would like HKEX to consider?
Response: Yes
If "Yes," please explain your comments/suggestions:
The main issue to address is the concern surrounding margin calls during holidays.
Question 1(i)
the proposed trading arrangements?
Response: Yes
If "Yes," please explain your comments/suggestions:
There is a concern regarding margin calls during holiday periods, as banks are closed, which poses challenges for clients attempting to transfer funds to financial institutions.
---
Question 1(ii)
the proposed clearing arrangements?
Response: Yes
If "Yes," please explain your comments/suggestions:
It is advisable to retain the existing settlement arrangements without any modifications.
---
Question 1(iii)
the proposed risk management arrangements
Response: Yes
If "Yes," please explain your comments/suggestions:
It is recommended to enhance staffing levels to ensure the seamless operation of computer systems.
---
Question 1(iv)
the proposed market data arrangements
Response: Yes
If "Yes," please explain your comments/suggestions:
It is suggested to maintain the current arrangements for daily market data.
---
Question 1(v)
the proposed large open position reporting arrangements
Response: Yes
If "Yes," please explain your comments/suggestions:
It is recommended to continue with the existing daily reporting arrangements for large open positions.
---
Question 2
Are there any other issues regarding the arrangements of Holiday Trading that you would like HKEX to consider?
Response: Yes
If "Yes," please explain your comments/suggestions:
The main issue to address is the concern surrounding margin calls during holidays.