ENG-2017 — Page 114

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Financial and Monetary Affairs

on Authorization of Virtual Banks is under review to facilitate the introduction of virtual banking in Hong Kong.

Securities and Futures

Hong Kong's securities market is operated by the SEHK and its futures market by the HKFE, both wholly owned subsidiaries of the HKEX. The total equity funds raised increased 18.3 per cent in 2017 to $580 billion, while the securities market's total turnover rose 32.4 per cent to $21.7 trillion, with 44.3 trillion shares traded.

ETFs offer investors a wide range of investment exposure to world, regional and Mainland indices and commodities. During the year, 22 new ETFs, including leveraged and inverse products, were authorised, bringing the total number of SEHK-listed ETFS to 133. The introduction of leveraged and inverse products has brought new trading and hedging tools to investors, while the issuance of ETFs with multiple trading counters in the HKD, USD and RMB has provided additional flexibility in the settlement and trading of ETFs. Turnover of ETFs was about $1 trillion.

Statistics on Securities Market (Main Board and GEM)

2015

2016

2017

Number of listed companies (year end)

1,866

1,973

2,118

Total market capitalisation (year end)

24,684

24,761

33,999

($ billion)

Total equity funds raised ($ billion)

1,116

489

580

Total securities market turnover ($ billion)

26,091

16,396

21,709

Total number of shares traded (billion)

53,694

45,612

44,283

Number of derivative warrants (DWs) listed

4,590

3,705

6,094

(year end)

Turnover of DWS ($ billion)

4,504

2,727

3,008

Number of callable bull/bear contracts

1,630

1,844

3,374

(CBBCs) listed (year end)

Turnover of CBBCs ($ billion)

1,837

1,372

1,189

Number of ETFs listed (year end)

133

133

106

Turnover of ETFs ($ billion)

2,171

1,011

1,065

In the derivatives market, 214.85 million futures and options contracts were traded, 14.2 per cent more than in 2016. Trading of major derivatives products included Hang Seng Index (HSI) Futures, with a total turnover of 31.49 million contracts; Hang Seng China Enterprises Index Futures with a turnover of 28.85 million contracts; HSI Options with a turnover of 10.13 million contracts; Hang Seng China Enterprises Index Options with a turnover of 19.78 million contracts; and Stock Options with a turnover of 105.84 million contracts.

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