Asian and African insurer Prudential has announced that its shares, which trade on the Stock Exchange of Hong Kong (HKEx), are also now included in the Shanghai-Hong Kong Stock Connect program.
This newest expansion comes after the insurer’s inclusion in the Shenzhen-Hong Kong Stock connect program, in addition to the Hang Seng Composite Index in 2022.
Officially introduced in 2014, the Shanghai-Hong Kong Stock Connect is a pilot project to enable mutual stock market access between mainland China and Hong Kong, and was established by the HKEx, ChinaClear, and the Shanghai Stock Exchange (SSE).
"This inclusion signifies another milestone for Prudential. This additional southbound trading mechanism will allow more investors in the Chinese mainland to share our growth and help lift our profile and shareholder base in China further,” Prudential group chief financial officer James Turner said in a press release.
Investors in the Chinese mainland looking to get into the Shanghai-Hong Kong Stock Connect program need to maintain a total balance of securities and cash account of not less than CNY500,000. The program established a two-way trading link between the SSE and HKEx. Under daily quota restrictions, the stock link enables qualified mainland China investors to access eligible Hong Kong shares and Hong Kong and foreign investors to trade eligible A shares.
In January, Prudential received approval from the Macau Special Administrative Region to establish a branch of its Hong Kong business in Macau. This addition will see the insurer providing life and health insurance and asset management in 24 markets across Asia and Africa.
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