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Thursday, January 11, 1973

"In conclusion a word on a slightly different topic. We are all

becoming increasingly concerned at the frenzy of dealings on the Stock

Exchange. Hong Kong has grown to be one of the great trading centres of the

world on the basis of courageous and prudent investment for profit in

mercantile services, manufacture and real estate, It is such investment that

has provided employment for our population.

"I welcome the emergence in Hong Kong of sophisticated financial

services, including a greatly expanded capital market. But it would be highly

injurious to our economy if the search for profit became deflected from

production and concentrated on Stock Exchange dealings; or worse that the

folly of such dealings was allowed to undermine the financial stability of

productive undertakings.

"To-day the Financial Secretary has been in touch with the Stock

Exchanges. If necessary, Government will have to intervene to reduce the

volume of transactions to more realistic levels. But it would be much better

if the speculators themselves showed more prudence, or in default of that if

all the institutions concerned insisted, as I think they could, that the

market was restored to more rational dealings.

"Reverting to the high standard we are here to honour, I believe

imagination, industrial courage and foresight, that have produced those designs,

are typical of those healthy and highly productive characteristics on which

Hong Kong's prosperity is based.

"I now have pleasure in calling on the representative of Ampex Ferrotec

to step forward to receive the trophy."

Release Time: 7.00 p.m.

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