HKEX Insight

Shanghai-Hong Kong Stock Connect is a securities trading and clearing links programme developed by HKEX, Shanghai Stock Exchange (SSE) and China Securities Depository and Clearing Corporation Limited (ChinaClear) launched on 17 November 2014, aiming to achieve a breakthrough in mutual market access between the Mainland and Hong Kong.

Under Shanghai-Hong Kong Stock Connect, The Stock Exchange of Hong Kong Limited (SEHK), a wholly-owned subsidiary of HKEX, and SSE have established mutual order routing connectivity and related technical infrastructure to enable investors of their respective markets to trade designated equity securities listed in the other’s market.

Shenzhen-Hong Kong Stock Connect was launched on 5 December 2016 and applies similar programme principles and design to Shanghai-Hong Kong Stock Connect and was developed by HKEX, Shenzhen Stock Exchange (SZSE) and ChinaClear.

Southbound Stock Connect allows qualified Mainland China investors to trade eligible stocks and ETFs listed in Hong Kong. Northbound Stock Connect allows international investors to trade eligible A-shares and ETFs listed on the SSE or SZSE through Hong Kong.

A-shares and ETFs listed on SSE or SZSE which fulfil certain eligibility criteria could be traded through Northbound Stock Connect, while stocks and ETFs listed in Hong Kong which fulfil the relevant Southbound eligibility criteria could be traded via Southbound Stock Connect.

There are around 2,700 stocks and 248 ETFs eligible for Northbound trading, and close to 550 stocks and 17 ETFs eligible for Southbound trading, as of the end of February 2025.

The Northbound and Southbound eligible stocks in total cover around 90% of the total market capitalisation and around 80% of the total trading volume of the three stock markets in Shanghai, Shenzhen and Hong Kong.

You can find out more about eligible stocks included in Stock Connect here, or learn about ETF eligibility for Stock Connect in greater detail here.

Before Stock Connect, investors could access onshore equities via the QFII and RQFII schemes. Those schemes were limited to qualified institutional investors.

The launch of Stock Connect in 2014 marked the first mutual market access channel between the Mainland and Hong Kong that could be used by a broader range of investors.

Eligible ETFs listed in Mainland China and Hong Kong have been included in Stock Connect since July 2022. The number of Northbound-eligible ETFs has grown from 83 to 248, while the number of Southbound-eligible ETFs has risen from four to 17, as of February 2025.

An ETF must satisfy eligibility criteria, including assets under management and total weighting of specified stocks, to be eligible for Stock Connect.

The most up-to-date and detailed information on the eligibility criteria is available here.

Bond Connect is a mutual market access scheme that allows investors from Mainland China and overseas to trade in each other's bond markets through connection between the related Mainland and Hong Kong financial infrastructure institutions.

Bond Connect’s Northbound and Southbound channels launched in July 2017 and September 2021, respectively, to foster two-way interconnectivity in the bond market.

Swap Connect is the world’s first derivatives mutual market access programme launched in May 2023, enabling international investors to trade and clear onshore RMB interest rate swaps without changing their existing trading and settlement practices.

OTC Clear implemented three enhancements for Swap Connect – solo compression, CNY back-dated trades and International Money Market trades – in partnership with China Foreign Exchange Trade System (CFETS) and Shanghai Clearing House (SHCH) on 20 May 2024.

Learn more about the enhancements and the progress of Swap Connect here.

In 2024, Northbound and Southbound ADT was RMB150.1 billion ($20.7 billion) and HK$48.2 billion ($6.2 billion), respectively, accounting for around 6% and 18% of the total turnover of the Mainland China and Hong Kong markets.

Northbound and Southbound ADT has increased 25 times and 51 times, respectively, compared with ADT in the first month of trading through Stock Connect in 2014. Browse more Stock Connect performance highlights here.

Over the past decade, trading and settlement services enhancements have made Stock Connect an even broader and more convenient cross-border investment channel.

For instance, daily and aggregate trading quotas have evolved over the years. The aggregate quota was removed altogether in 2016, while the daily quota was quadrupled in 2018.

There have also been improvements to settlement efficiency, with the introduction of Special Segregated Account (SPSA) Services and Synapse accelerating operational efficiency of Stock Connect’s Northbound trading.

The Stock Connect trading calendar has also benefited from a series of enhancements. In 2023, changes were made to facilitate trading on all trading days shared by the Hong Kong and Mainland China markets.

And in 2024, Severe Weather Trading arrangements were implemented across Hong Kong’s securities and derivatives markets, including Stock Connect.

For a full timeline of enhancements to the Connect programmes over the years read the ‘10 Years of Connect’ report here.

Under Stock Connect, all trades are conducted in RMB. Mainland investors use RMB to invest in Hong Kong securities, with the exchange to Hong Kong Dollars taking place in Hong Kong by ChinaClear.

Hong Kong and international investors must also use RMB to purchase Northbound securities, with Hong Kong Securities Clearing Company Limited paying RMB to ChinaClear. This arrangement minimises the impact on the onshore RMB exchange rate and boosts the role of the offshore RMB market in Hong Kong.

To promote RMB-denominated products and expand RMB use in international investment, HKEX launched the HKD-RMB Dual Counter in June 2023. This initiative allows stocks of participating listed companies to be traded in both HKD and RMB. Technical preparation work is ongoing to allow RMB counters to be added to Southbound Connect, which will further increase the convenience and attractiveness of the Connect channel to Mainland investors.

Beyond Stock Connect, Hong Kong’s offshore RMB market has also received a boost with the launch of Bond Connect, which links international investors with China’s fixed income market. Likewise, Swap Connect, as an extension of Bond Connect to the OTC derivatives markets, has provided a much-needed risk management tool for overseas investors’ RMB asset allocation.

Find everything you need to know about the HKD-RMB Dual Counter here.

We expect steps to enrich the Connect product ecosystem, strengthen the trading mechanism and supporting services, increase investor participation and enhance Bond Connect and Swap Connect in 2025 and beyond. You can keep up with latest developments here.

Connect Hub

Ten Years of Connect

HKEX Stock Connect in 5 Graphs: Charting a Decade of Success

Southbound Stock Connect: Trends and Prospects

HKEX Voice: A New Chapter of Our Connect Story