- Has Hong Kong Exchanges And Clearing (SEHK:388) Run Ahead Of Its Recent Share Price Strength?
Apr 28, 2026
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If you are wondering whether Hong Kong Exchanges and Clearing is priced attractively today, the current share price of HK$412.0 makes valuation the key question to focus on. The stock has been relatively steady over the last week with a 0.1% return, while the past month shows a 5.5% return and the last year shows a 25.9% return. This compares with a modest 1.6% return over five years and a small year-to-date decline of 0.9%. Recent coverage has focused on Hong Kong Exchanges and Clearing as a core part of the local capital markets, with attention on how trading activity and sentiment around Hong Kong-listed companies may affect exchange operators. This broader context helps frame why the stock's recent performance may be drawing fresh interest from investors who are considering both opportunity and risk. On Simply Wall St’s 6-point valuation checklist, Hong Kong Exchanges and Clearing currently scores 1 out of 6. The next sections will walk through what that means under different valuation methods and outline a more complete way to think about value that ties everything together toward the end of the article.
Hong Kong Exchanges and Clearing scores just 1/6 on our valuation checks. See what other red flags we found in the full valuation breakdown.
Approach 1: Hong Kong Exchanges and Clearing Excess Returns Analysis
The Excess Returns model looks at how much profit a company generates above the return that equity investors typically require, then capitalises that surplus to estimate what the business might be worth per share today.
For Hong Kong Exchanges and Clearing, the model uses a Book Value of HK$46.00 per share and a Stable EPS of HK$15.51 per share, based on weighted future Return on Equity estimates from 17 analysts. The Average Return on Equity is 31.45%, compared with a Cost of Equity of HK$3.87 per share, which leads to an Excess Return of HK$11.64 per share. A Stable Book Value of HK$49.31 per share, sourced from 13 analysts, is also factored in.
By projecting these excess returns and discounting them, the Excess Returns model arrives at an intrinsic value of HK$285.76 per share. Compared with the current share price of HK$412.00, this suggests the stock is about 44.2% overvalued based on this method.
Result: OVERVALUED
Our Excess Returns analysis suggests Hong Kong Exchanges and Clearing may be overvalued by 44.2%. Discover 232 high quality undervalued stocks or create your own screener to find better value opportunities.
Story Continues
388 Discounted Cash Flow as at Apr 2026
Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Hong Kong Exchanges and Clearing.
Approach 2: Hong Kong Exchanges and Clearing Price vs Earnings
For a profitable company like Hong Kong Exchanges and Clearing, the P/E ratio is a useful shorthand for what investors are currently willing to pay for each dollar of earnings. It helps you compare the share price to the underlying earnings power in a single number.
What counts as a “normal” or “fair” P/E depends on how the market views a company’s growth prospects and risk profile. Higher expected growth or lower perceived risk can justify a higher P/E, while slower growth or higher risk tend to align with a lower P/E.
Hong Kong Exchanges and Clearing currently trades on a P/E of 29.33x. This is above the Capital Markets industry average P/E of 14.20x and the peer group average of 17.99x. Simply Wall St’s proprietary Fair Ratio for the stock is 12.04x, which estimates a P/E that would be consistent with factors such as earnings growth, profit margins, market cap, risks and the company’s industry.
Because the Fair Ratio directly incorporates these company specific drivers, it can give a more tailored view than a simple comparison with industry or peer averages. Set against the current 29.33x P/E, the 12.04x Fair Ratio points to Hong Kong Exchanges and Clearing trading at a richer level than this model implies.
Result: OVERVALUEDSEHK:388 P/E Ratio as at Apr 2026
P/E ratios tell one story, but what if the real opportunity lies elsewhere? Start investing in legacies, not executives. Discover our 96 top founder-led companies.
Upgrade Your Decision Making: Choose your Hong Kong Exchanges and Clearing Narrative
Earlier it was mentioned that there is an even better way to understand valuation, so Narratives are Simply Wall St’s way for you to attach a clear story to your numbers by linking your view on Hong Kong Exchanges and Clearing’s future revenue, earnings and margins to a specific fair value and then comparing that fair value to today’s share price.
Each Narrative on the Community page of Simply Wall St’s platform, which is used by millions of investors, connects a company story to a full forecast and valuation, so you can quickly see whether your view suggests the stock is priced above or below what you consider fair and therefore whether it might be closer to a buy, hold or sell decision for you.
Because Narratives update automatically when new information such as news, results or guidance is added to the platform, your fair value view is refreshed without you having to rebuild a full model from scratch.
For Hong Kong Exchanges and Clearing, one investor Narrative might lean toward the lower end of analyst targets at around HK$390.0 if the focus is on slower revenue growth and margin pressure, while another might sit at the upper end near HK$610.0 if the emphasis is on stronger cross border flows, higher growth assumptions and a richer P/E. Both are visible side by side so you can decide which story feels more realistic for you.
Do you think there's more to the story for Hong Kong Exchanges and Clearing? Head over to our Community to see what others are saying!SEHK:388 1-Year Stock Price Chart
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include 0388.HK.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- Hong Kong maintains IPO dominance, though regulatory headwinds mount
Apr 26, 2026
Investing.com -- Hong Kong’s capital markets are off to a blistering start in 2026, with the city cementing its status as the world’s premier initial public offering (IPO) venue.
Financial Secretary Paul Chan reported on Sunday that IPOs have already raised over HK$140 billion ($17.9 billion) this year.
The surge in activity has revitalized the city’s exchange, with average daily trading volume now topping HK$280 billion since last month.
A dual narrative: Growth versus scrutiny
The IPO boom is providing a lucrative windfall for global investment banks, intensifying the battle for top-tier dealmaking talent. However, the rapid expansion has also invited a closer look from authorities.
Beijing is reportedly moving to restrict certain overseas-incorporated Chinese firms from pursuing Hong Kong listings, while the city’s Securities and Futures Commission (SFC) has begun warning banks over substandard filing practices.
The regulatory hurdles highlight the government’s delicate balancing act: maintaining the market’s attractiveness while ensuring a pipeline of high-quality, compliant issuers.
Golden Week boost on the horizon
Beyond the equity markets, Hong Kong is bracing for a significant economic tailwind. Financial Secretary Chan noted that the upcoming “Golden Week” holiday, beginning Friday, is expected to bring nearly one million visitors from mainland China, a projected 7% increase year-over-year.
The influx is slated to provide a much-needed lift to the city’s retail, hotel, and dining sectors, which have been looking for signs of sustained consumer recovery.
For investors, the combination of robust capital market activity and a strengthening tourism outlook suggests that Hong Kong remains a critical, albeit increasingly complex, hub for Asia-Pacific growth.
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- HKEX strengthens governance with tougher auditor change rules
Apr 20, 2026
Hong Kong Exchanges and Clearing (HKEX) has rolled out new requirements that make it harder for listed companies to switch auditors without shareholder approval.
According to a Bloomberg report, the move is aimed at improving corporate governance standards in the $7.5tn market.
As per the new guidance, HKEX now requires listed companies to appoint or remove their auditors only at general meetings. Board-driven changes without a shareholder vote will no longer be allowed.
The exchange has further asked companies to spell out “specific audit fees or ranges” in their disclosures. The intention is to limit the scope for citing disagreements over remuneration as grounds for dismissing an audit company.
With these measures, HKEX is closing a loophole that previously allowed boards to exert pressure on auditors to step down without immediate involvement from investors, according to the publication.
Going forward, any company action that leads to an auditor’s resignation will be treated as a removal, triggering the need for a formal vote.
The rule change arrives amid a clampdown on “opinion shopping”, where issuers nudge auditors to quit close to filing deadlines and then hire a more accommodating company through a casual vacancy process.
The Securities and Futures Commission in Hong Kong has also warned that late-stage resignations are warning signs of governance and internal control problems.
In a recent review, the regulator noted that auditors at 89 listed companies resigned within four months of annual reporting deadlines, with 66 of those departures linked to “fee disagreements”.
Regulators maintain that outright financial fraud is not widespread in Hong Kong, but they are intensifying checks on listed-company quality in an effort to attract and retain investors.
"HKEX strengthens governance with tougher auditor change rules" was originally created and published by International Accounting Bulletin, a GlobalData owned brand.
The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
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- Manycore Tech Debuts on HKEX as the World's First Spatial Intelligence Company
Apr 17, 2026
HONG KONG, April 17, 2026 /PRNewswire/ -- Manycore Tech Inc. ("Manycore Tech" or the "Company") today officially listed on the Main Board of the Hong Kong Stock Exchange (HKEX) under stock code 00068.HK, becoming the world's first publicly listed company focused on spatial intelligence. The listing marks a significant milestone for the AI sector in Hong Kong, adding a new flagship to the city's growing AI ecosystem.
The listing ceremony was attended by distinguished guests including Paul Chan Mo-po, Financial Secretary of the Hong Kong SAR Government; Sun Dong, Secretary for Innovation, Technology and Industry; and Bonnie Y Chan, Chief Executive Officer of Hong Kong Exchanges and Clearing Limited. They were joined by Manycore Tech's co-founders Huang Xiaohuang, Chen Hang, and Zhu Hao, alongside the Company's management team, to witness this historic moment.
As the first listed company built on spatial intelligence as its core technological foundation, Manycore Tech received strong market enthusiasm. On its debut trading day, the stock opened sharply higher at HKD 20.7, bringing its market capitalization to approximately HKD 35 billion.（At the Listing Ceremony of Manycore Tech）
Global "First-of-its-Kind" Spatial Intelligence Company Draws Strong Investor Demand
Founded in 2011, Manycore Tech has focused on leveraging GPU-based computing to simulate and model the physical world, aiming to bridge the digital and physical realms and accelerate AI's integration into real-world environments. The Company operates China's largest cloud-native spatial design platform and has accumulated massive volumes of interactive 3D data. Building on this foundation, it has developed proprietary spatial large models, forming a powerful technological flywheel of "spatial editing tools – spatial data – spatial large models," securing a leading position in the global spatial intelligence sector.
In its IPO, Manycore Tech priced its shares at HKD 7.62, the top end of the offer range, issuing approximately 160.6 million shares globally. The total proceeds amounted to approximately HKD 1.224 billion, with net proceeds of around HKD 1.092 billion.
The offering was met with overwhelming demand, with the Hong Kong public offering oversubscribed by 1,591 times and the international offering by 14.46 times, reflecting strong confidence from global investors in the Company's technological capabilities and growth prospects.
The IPO also attracted a high-quality cornerstone investor lineup, including Taikang Life, Sunshine Life, GF Fund Management, Redwood, Mirae Asset Securities, Wusong Capital, Hesai HK, Guohui Hong Kong, and Huaying Construction. Together, these cornerstone investors subscribed for HKD 455 million worth of shares, providing a solid foundation for the Company's long-term development.
Story Continues
Speaking at the listing ceremony, Victor Huang, Co-founder and Chairman of Manycore Tech, said:
"AI is reshaping the world with unprecedented force, and with it comes greater responsibility. We aim to push AI beyond content generation and dialogue in the virtual world toward true understanding, action, and creation in the physical world. Spatial intelligence is the key to this transformation. We are committed to building a bridge between the digital and physical worlds and have already enabled applications across industries such as spatial design, 3D AI content creation, industrial digital twins, and embodied AI training."
Building a Technological Moat to Power AI's Understanding of the Physical World
As AI evolves from text- and image-based interactions toward engagement with the three-dimensional physical world, spatial intelligence is emerging as a core enabling technology—allowing AI to perceive, reason about, and interact with real-world environments.
Guided by its mission to "make every space computable," Manycore Tech is building the digital infrastructure for AI to understand the physical world. The Company's business has expanded from assisting human users in 3D content creation to empowering intelligent agents with advanced spatial capabilities.
Its product portfolio includes Kujiale, China's largest spatial design platform; its international version Coohom; the 3D AI content creation tool LuxReal; the next-generation spatial intelligence solution SpatialVerse; and the cloud-native industrial AI digital twin platform SpatialTwin.
In addition, Manycore Tech has integrated four core capabilities—spatial reconstruction, generation, editing, and understanding—into its Aholo spatial intelligence development platform, which is open to external developers as foundational infrastructure. This combination of products and open platforms further accelerates the convergence of AI and the physical world.
The Company has expanded its presence beyond spatial design into areas such as embodied AI training, e-commerce visualization, industrial digital twins, and 3D content creation. It has established strategic partnerships with leading companies including AgiBot, Galaxy General, PICO, Hesai Technology, Hangcha Group, Huace Film & TV, and Aosom.
Financially, Manycore Tech has demonstrated steady growth, reporting revenue of RMB 820 million in 2025 with a gross margin of 82.2%. Notably, the Company achieved a key inflection point in 2025, turning profitable with an adjusted net profit of RMB 57.1 million for the year.
On the R&D front, Manycore Tech invested over RMB 1 billion between 2023 and 2025, accounting for 45.5% of its total revenue. As of December 31, 2025, the Company had more than 500 R&D personnel, representing approximately 41.5% of its workforce.
The Company has also built a dedicated GPU computing cluster to support high-performance rendering as well as AI model training and inference. In 2025, it launched its spatial language model SpatialLM and spatial generative model SpatialGen. Following its open-source release, SpatialLM quickly ranked among the top three trending projects on Hugging Face, alongside leading models such as DeepSeek-V3 and Qwen2.5-Omni, attracting widespread global attention.Cision
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- HKEX Advances Index Ecosystem with Two Tech-Focused Benchmarks
Apr 13, 2026
HKEX launches the HKEX KRX Semiconductor Index and the HKEX Tech & US Tech 100 Index These mark the latest development in HKEX's index strategy, expanding its proprietary and co‑branded benchmark offerings HKEX enters licensing agreements with 5 issuers to develop ETFs in Hong Kong tracking the two new benchmarks
HONG KONG, April 13, 2026 /PRNewswire/ -- Hong Kong Exchanges and Clearing Limited (HKEX) is pleased to announce today (Monday) the expansion of its index portfolio with the introduction of two technology‑focused benchmarks: the HKEX KRX Semiconductor Index and the HKEX Tech & US Tech 100 Index.
As the first co‑branded index between HKEX and Korea Exchange (KRX), the HKEX KRX Semiconductor Index provides cross‑market exposure to Hong Kong‑listed semiconductor companies eligible for Southbound Stock Connect and to leading South Korean semiconductor names, represented by constituents of the KRX Semiconductor Top 15 Index.
The HKEX Tech & US Tech 100 Index tracks the performance of all constituents of the HKEX Tech 100 Index and the 100 largest Nasdaq‑listed technology companies by market capitalisation, including the Magnificent Seven.
With weightings of approximately 60 per cent for Stock Connect-eligible Hong Kong-listed companies and 40 per cent in overseas-listed companies, the indices are designed to support the development of exchange traded funds (ETFs) and to be eligible for inclusion under Southbound ETF Connect — enabling investors in the Chinese Mainland to access more diversified cross-market exposure.
HKEX is also pleased to announce it has entered into licensing agreements with Bosera Asset Management (International), Da Cheng International Asset Management, E Fund Management (Hong Kong), GF International Investment Management, and Huatai-PCG Asset Management, for the introduction of ETFs based on the two newly-launched indices in Hong Kong, subject to regulatory approval.
HKEX Chief Executive Officer, Bonnie Y Chan, said: "We are delighted to announce the launch of these exciting additions to HKEX's index suite, part of our strategic commitment to building an exchange‑led index ecosystem that supports product innovation and market development. By expanding our proprietary and co‑branded benchmark offering, along with its strong focus on technology opportunities, we aim to create a liquidity flywheel—broadening the universe for index‑linked products, deepening market participation and enhancing vibrancy across both the primary and secondary markets."
"We also warmly welcome the licensing agreements with Bosera International, Da Cheng International, E Fund HK, GF International, and Huatai-PCG to launch ETFs based on these new indices, underscoring our deep collaboration with the industry and our focus on developing indices that are fit for purpose, meeting the needs of our regional and international investors," Ms Chan added.
Story Continues
As Hong Kong welcomes even more technology companies across different industries to list on its vibrant markets, investor demand for related products is becoming increasingly diverse. These new benchmarks are designed to reflect that evolution, offering targeted and diversified exposure to global and regional technology themes, whilst supporting the development of products tailored to different investment strategies and risk appetites.
Index methodology and additional information about the HKEX KRX Semiconductor Index and the HKEX Tech & US Tech 100 Index are available on the HKEX website.HKEX Group Chief Information Officer Richard Leung (middle), HKEX Head of Markets Gregory Yu (second left), and HKEX Head of Data Business Winnie Sin (first left) met with KRX Director General of Index Business Kil Hyun Ahn (second right) and KRX Head of Index Business John Donghoon Shin (first right) at HKEX Connect Hall.
About HKEX
Hong Kong Exchanges and Clearing Limited (HKEX) is a publicly-traded company (HKEX Stock Code: 388) and one of the world's leading global exchange groups, offering a range of equity, derivative, commodity, fixed income and other financial markets, products and services, including the London Metal Exchange.
As a superconnector and gateway between East and West, HKEX facilitates the two-way flow of capital, ideas and dialogue between China and the rest of the world, through its pioneering Connect schemes, increasingly diversified product ecosystem and its deep, liquid and international markets.
HKEX is a purpose-led organisation which, across its business and through the work of HKEX Foundation, seeks to connect, promote and progress its markets and the communities it supports for the prosperity of all.
www.hkexgroup.comCision
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- Trading in Metals Contracts on London Metal Exchange Halted
Mar 16, 2026
The disruption, which the exchange is working to resolve, affects trading on the LMEselect electronic platform.
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- Assessing Hong Kong Exchanges And Clearing (SEHK:388) Valuation After A Strong 1 Year Shareholder Return
Feb 28, 2026
Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide.
What stands out about Hong Kong Exchanges and Clearing right now
Hong Kong Exchanges and Clearing (SEHK:388) has drawn attention recently as investors weigh its latest share price of HK$419 against its recent returns, including a 1 day move of 0.9% and a past year total return of 23%.
See our latest analysis for Hong Kong Exchanges and Clearing.
For investors, the picture is mixed, with a 1 year total shareholder return of 23%, a 30 day share price return of a 4.6% decline, and a 5 year total shareholder return that is roughly flat. This suggests momentum has cooled recently after stronger gains earlier on.
If this shift in momentum has you looking beyond a single exchange operator, it could be a good time to broaden your search with our 96 top founder-led companies.
With the share price at HK$419, modest revenue and net income growth, and a discount of about 23% to the average analyst price target, investors might ask: is this a buying opportunity, or is the market already pricing in future growth?
Most Popular Narrative: 16.3% Undervalued
Hong Kong Exchanges and Clearing's most followed narrative pegs fair value at about HK$500, compared with the last close of HK$419, framing a valuation gap that hinges on how you see its future earnings power.
HKEX is leveraging Asia's economic rise and expanding global connectivity to strengthen its position, diversify revenues, and drive sustainable, higher-margin growth. Investments in fintech, product expansion, and platform upgrades increase operational efficiency, scalability, and earnings resilience, as shifting industry trends reshape where and how trading activity happens.
Read the complete narrative.
Want to see what kind of revenue mix and profit margins sit behind that fair value? The narrative leans heavily on earnings resilience, higher margin businesses, and a punchy future earnings multiple that assumes investors keep paying up for this type of exchange exposure. Curious which specific growth and profitability assumptions need to hold for HK$500 to make sense?
Result: Fair Value of HK$500 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, investors still need to weigh the risk that stronger onshore China exchanges and potential shifts in capital controls could curb trading volumes and new listing activity.
Find out about the key risks to this Hong Kong Exchanges and Clearing narrative.
Story Continues
Another lens on valuation
Those fair value views lean on earnings forecasts and future P/E. On current numbers though, Hong Kong Exchanges and Clearing trades on a P/E of 29.8x, versus about 19x for the Hong Kong Capital Markets industry, 9.9x for peers, and a fair ratio of 12.2x. That is a wide gap, so is the premium comfort or concern for you?
See what the numbers say about this price — find out in our valuation breakdown.SEHK:388 P/E Ratio as at Feb 2026
Next Steps
If this mix of optimism and concern around Hong Kong Exchanges and Clearing has you thinking, look through the data yourself and move quickly to form your own stance by focusing on 3 key rewards and 1 important warning sign.
Ready for more investment ideas?
If Hong Kong Exchanges and Clearing has sharpened your thinking, do not stop here. Use focused stock lists to pressure test your portfolio and uncover fresh ideas.
Target resilient income by reviewing companies in the 445 dividend fortresses that may help anchor your returns with regular payouts. Hunt for potential mispricings by scanning the screener containing 566 high quality undiscovered gems that many investors may not be watching yet. Prioritise durability by filtering for the 325 resilient stocks with low risk scores that could help reduce portfolio volatility when markets turn choppy.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include 0388.HK.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- Hong Kong Exchanges and Clearing Ltd (HKXCF) (Full Year 2025) Earnings Call Highlights: Record ...
Feb 28, 2026
This article first appeared on GuruFocus.
Revenue and Other Income: $29.2 billion, up 30% from 2024. Profit After Tax: $17.8 billion, a 36% increase compared to the previous year. Earnings Per Share (EPS): $14.05, up 36% year-over-year. Dividend: Second interim dividend of $6.52 per share; full year dividend of $12.52, up 35% from 2024. Average Daily Turnover (ADT): $249.8 billion, a 90% increase from the previous year. Derivatives Market Volume: Increased by 7% compared to 2024. Commodities Market Volume: Increased by 8% compared to 2024. Operating Expenses (OpEx): Up 5%, influenced by a $90 million FCA fine and recovery of $60 million in legal fees. Effective Tax Rate: Increased to 15.7% from 11.4% in 2024. Net Investment Income: 8% higher than 2024, driven by increased margin fund size and fair value gains.
Warning! GuruFocus has detected 8 Warning Signs with HKXCF. Is HKXCF fairly valued? Test your thesis with our free DCF calculator.
Release Date: February 26, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
Hong Kong Exchanges and Clearing Ltd (HKXCF) delivered record financial performance in 2025, with revenue and profit both reaching all-time highs for the second consecutive year. The introduction of new IPO price discovery rules and increased support for specialist technology issuers enhanced market efficiency and transparency. The derivatives market saw the successful launch of the Hang Seng TECH Index futures, complementing existing offerings and expanding the product suite. The acquisition of a 20% stake in CMU OmniClear strengthens Hong Kong's position as a global hub for bond fundraising and risk management. The expansion of LME-approved warehouses in Hong Kong to 15 signals the city's potential as a global commodities trading hub.
Negative Points
Operating expenses increased by 5% due to a non-recurring FCA fine and recovery of legal fees related to the LME nickel incident. The group's effective tax rate rose to 15.7% in 2025 from 11.4% in 2024 due to the implementation of BEPS 2.0. Net investment income is expected to be affected by revised margin collateral arrangements and Hong Kong dollar rate movements. Despite strong financial performance, the monetization of the fixed income business remains a challenge, with limited revenue contribution observed so far. The competitive landscape poses threats from digital assets and data market-related fees, requiring strategic focus to maintain HKXCF's market position.
Q & A Highlights
Q: Could you elaborate on the potential expansion of connectivities with the rest of the region, like Malaysia and others? A: Yiting Chan, CEO, explained that there is a significant demand for connectivity with the Hong Kong and Chinese mainland markets, which account for 75% of APAC liquidity. HKEX aims to leverage its existing infrastructure, such as the Stock Connect program, to enhance regional connectivity. This includes exploring dual listings and partnerships with other exchanges to support fundraising needs and investor connectivity.
Story Continues
Q: With increasing initiatives, will costs grow in line with revenue, or will there be more investments in people and technology? A: Yiting Chan, CEO, emphasized maintaining cost discipline while making thoughtful investments in areas like fixed income, currency, and commodities. The focus is on leveraging positive macro trends and diversifying beyond equities to capture global investor interest.
Q: How should we think about the revenue contribution from CMU OmniClear in the next three years? A: Bik Yun Lau, CFO, stated that while the 20% stake in CMU OmniClear is financially not material in the short term, it is strategically significant for HKEX's FIC ecosystem. The focus is on building a comprehensive ecosystem, including bond issuance, trading, and clearing, to position Hong Kong as a leading FIC center.
Q: Are there any plans for launching prediction markets or investments in digital assets? A: Bik Yun Lau, CFO, confirmed that HKEX is not currently looking to offer prediction markets. The focus remains on building a multi-asset ecosystem, replicating the success of equities in fixed income, currency, and commodities.
Q: What is the probability of the IPO pipeline converting this year, and any updates on the Southbound Renminbi counter? A: Yiting Chan, CEO, noted a healthy and diverse IPO pipeline, with strong demand and performance in the aftermarket. Regarding the Southbound Renminbi counter, the Financial Secretary has indicated an accelerated implementation, and updates will be shared as soon as available.
Q: How does HKEX plan to manage expenses given the numerous initiatives? A: Leung Wah Hui, CFO, highlighted a 5% growth in OpEx for 2025, reflecting good cost discipline. While maintaining stringent control over headcount and costs, HKEX will invest in future initiatives to support growth.
Q: Can you share insights on the monetization opportunities for the fixed income business compared to equities? A: Yiting Chan, CEO, acknowledged the challenge in quantifying returns but emphasized the significant opportunity in the FICC space, given the larger size of the fixed income market compared to equities. The focus is on building a comprehensive ecosystem to capture this potential.
Q: Are there any upcoming revisions to the IPO listing rules? A: Yiting Chan, CEO, mentioned ongoing efforts to enhance the IPO framework to increase competitiveness. This includes revisiting eligibility requirements and potentially revising the weighted voting rights regime to align with market demands and trends.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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- Financial Services Roundup: Market Talk
Feb 27, 2026
Find insight on Swiss Re, Toronto-Dominion Bank, London Stock Exchange Group and more in the latest Market Talks covering Financial Services.
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- Fosun International Receives "Certificate of Excellence in Environmental, Social and Governance Reporting" from Hong Kong Management Association
Feb 27, 2026
HONG KONG, Feb. 27, 2026 /PRNewswire/ -- On 23 February 2026, The Hong Kong Management Association (HKMA) held the 2025 HKMA Best Annual Reports Awards presentation ceremony in Hong Kong. Fosun International received the "Certificate of Excellence in Environmental, Social and Governance Reporting", underscoring the company's outstanding performance in ESG strategy, environmental protection, social responsibility, corporate governance and information disclosure, and its continued recognition by industry authorities.
Since its inception in 1973, the HKMA Best Annual Reports Awards has become a highly regarded benchmark in Hong Kong's information disclosure landscape. It aims to award and recognize organizations for their achievement in annual report preparation.
A total of nine enterprises received the "Certificate of Excellence in Environmental, Social and Governance Reporting". Other award-winning companies include CLP Holdings, CK Hutchison Holdings, Hong Kong Exchanges and Clearing Limited, MTR Corporation, Swire Properties, Chow Tai Fook Jewellery, S.F. Holding, Lenovo Group, and The Hongkong and Shanghai Hotels, all of which are prominent blue-chip listed companies.
HKMA pointed out that the award-winning companies have significantly enhanced ESG governance by incorporating ESG into their long-term development strategies and key future initiatives. They also align with international climate-related information disclosure standards such as the Task Force on Climate-related Financial Disclosures (TCFD), while demonstrating management's active engagement and strong commitment to ecosystems and biodiversity.
In 2023, Fosun established the "Create IMPACT" sustainable development strategy, built on six key pillars: Innovation-driven, Mindful Operation, People and Partner Oriented, Advanced Governance, Climate and Planet Positive and Transparency, to systematically integrate ESG principles into its business strategy.
I: Innovation-driven
M: Mindful Operation
P: People and Partner Oriented
A: Advanced Governance
C: Climate and Planet Positive
T: Transparency
Since its establishment in 1992, Fosun has developed into a global innovation-driven consumer group with businesses in more than 40 countries and regions. With the original aspiration of "Self-improvement, Teamwork, Performance, and Contribution to Society", Fosun remains committed to developing business for good. While advancing robust business development, Fosun continuously optimizes its sustainable development strategy to address profound shifts in the global economy, society, and environment, ensuring long-term competitiveness alongside social value creation.
Story Continues
Actively responding to climate change and promoting low-carbon transformation
In response to climate change challenges, the Group has transitioned from passive adaptation to proactive participation and innovation. At top-level governance, under the coordination of the Board of Directors (the "Board") and the Carbon Neutrality Committee, Fosun has achieved several key milestones, such as incorporating carbon neutrality indicators into the performance appraisal of the management, establishing a carbon emission management system and audit standards, and conducting greenhouse gas inventory training across the Group. In terms of technology-driven low-carbon transformation, the Group has accelerated the adoption of low-carbon technologies, leveraging innovative approaches to drive green transformation across its industrial chain and continuously provide sustainable products and services to consumers. In terms of financial innovation, In September 2025, Fosun held the signing ceremony in Hong Kong for its three-year sustainability-linked syndicated loan. The total syndicated amount was further increased to USD990 million equivalent, setting a new record for the largest offshore syndicated loan by a Chinese private enterprise in 2025. This achievement has effectively supported the implementation of the Group's sustainable development strategy.
Fosun actively responds to the national "dual carbon" goals by promoting carbon neutrality, energy conservation and emission reduction. In 2021, Fosun made a commitment to society – "strive to peak carbon emissions by 2028 and achieve carbon neutrality by 2050". Fosun has formulated strategies for climate change mitigation and adaptation in support of the Paris Agreement's global temperature control framework. As Hong Kong Stock Exchange's New Climate Requirements came into effect in 2025, Fosun International further aligned with the International Financial Reporting Standards S2 Climate-related Disclosures Requirements (IFRS S2) and TCFD recommendations, and released its third Climate Information Disclosures Report, continuously enhancing the transparency of its climate initiatives and demonstrating its steadfast long-term commitment.
The Group also actively encourages its member companies to carry out climate actions. In 2022, the Bund Finance Center (BFC), Fosun's base in Shanghai, was awarded the LEED Platinum certification, which is hailed as the "Oscar Award" in the green building industry, with a score of 97 points to set a new world record. In August 2024, BFC was successfully included in Shanghai's first batch of carbon peaking and carbon neutrality pilot demonstration projects, making it the only large-scale commercial complex exceeding 200,000 square meters on the list.
During the 29th session of the Conference of the Parties (COP29), Fosun Insurance Portugal (Fidelidade), a member company of Fosun, launched the Impact Center for Climate Change (ICCC), a platform for the study, research and sharing of knowledge with society, to drive innovation in climate risk knowledge and enhance the insurance industry's climate resilience. In February 2026, the ICCC held its annual Climate Research and Industry Exchange Conference, unveiling Portugal's first innovative study on forest fire risks to translate climate science into practical insurance risk management.
Actively driving global sustainable development and achieving outstanding ESG ratings
With a focus on core business development, Fosun leverages its comprehensive global industrial ecosystem to conduct responsible operations across more than 40 countries and regions, continuously contributing to public welfare and creating sustainable value worldwide. In addition, Fosun has long been committed to philanthropy in areas such as rural revitalization, healthcare, educational equity, community building, culture and art, steadily expanding its community impact and striving to build a more responsible, inclusive and sustainable future.
As a responsible global citizen, Fosun officially joined the United Nations Global Compact ("UN Global Compact") in 2014. It fully supports the ten principles of the UN Global Compact on human rights, labor, environment and anti-corruption, and has deeply integrated these principles into the Group's sustainable development strategy and code of conduct. Despite persistent global macroeconomic uncertainties, Fosun remains steadfast in advancing its sustainable development, fulfilling its long-term commitments on key issues and earning continued international recognition.
Fosun International's ongoing efforts have earned growing recognition from international rating agencies for its ESG management. Fosun has been included in the FTSE4Good Index Series for five consecutive years and has maintained its HSI ESG rating at AA-. In 2025, Fosun's FTSE Russell ESG score rose to 4.2. It also ranked in the top 5% among global peers in S&P Global's Corporate Sustainability Assessment (CSA), was included in S&P Global's Sustainability Yearbook 2025 (Global Edition), and was selected as the top 1% in S&P Global's Sustainability Yearbook (China Edition).Cision
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