How the Hong Kong Stock Exchange will face the international crisis and its dependence to China?

Résumé du document

The Honk-Kong Stock Exchange (or HKEX) functions from the last reform of the Hong-Kong stock market undertaken by the Hong-Kong financial secretary in 1999. In Honk-Kong, the first trade of securities began in the middle of the 19th century. But the first formal market appeared only in 1891. It was named the Association of Stockbrokers in Hong-Kong. The organization was renamed the HKEX in 1914. The Second World War, that had particularly significant effects in Asia from the Japanese invasion of China in 1937 to Hiroshima in 1945, disorganized the Hong-Kong stock market. The Hong Kong Stock Exchange is ranked third in Asia after the TSE (Tokyo Stock Exchange) and the SSE (Shanghai Stock Exchange) in terms of capitalization.

Extraits

[...] As a consequence, a lot of Chinese companies; investment companies, banks, corporations, etc, have decided to submit several initial public offerings in the Hong Kong Stock Market. Thus, a large panel of Chinese stocks is proposed as we saw in the first part of our study. According to Fortune Magazine[7], Hong Kong was elected as the best city in the world to do business and especially to invest in. That is why, since 1997, a lot of Asian assets came in Hong Kong and more precisely Chinese values. [...]

[...] Bibliography Internet Website http://en.wikipedia.org/wiki/Hong_Kong_Stock_Exchange http://english.peopledaily.com.cn/90001/90778/6273927.html http://www.hkex.com.hk/index.htm http://main.hsi.com.hk/hsicom/constituent/con_hsi.xls http://www.newinitiativemedia.com.hk/images/EstablishingHKasanIslamicFinance HubConference2008.pdf http://money.cnn.com/magazines/fortune/fortune_archive/2007/07/09/100122332/ index.htm http://www.investhk.gov.hk/pages/1/163.html http://www.iht.com/articles/2006/12/25/business/borse.php http://www.forecasts.org/hkd.htm http://www.wikio.fr/economie/finance/lexique_de_la_finance/bourse/bourse_de_ hong_kong http://www.hkex.com.hk/index.htm www.banque-france.net/fr/publications/telechar/bulletin/etud87_3.pdf Hong-Kong Stock Exchange, http://en.wikipedia.org/wiki/Hong_Kong_Stock_Exchange (2007), Hong Kong stock market capitalization tops 20 trillion HKD mark, http://english.peopledaily.com.cn/90001/90778/6273927.html HKEx's official website: http://www.hkex.com.hk/index.htm Constituants of Hang Seng Index, http://main.hsi.com.hk/hsicom/constituent/con_hsi.xls Hong-Kong Stock Exchange, http://en.wikipedia.org/wiki/Hong_Kong_Stock_Exchange Source : http://www.newinitiativemedia.com.hk/images/EstablishingHKasanIslamicFinance HubConference2008.pdf Source : http://money.cnn.com/magazines/fortune/fortune_archive/2007/07/09/100122332/ index.htm Source : http://www.investhk.gov.hk/pages/1/163.html Source : http://www.iht.com/articles/2006/12/25/business/borse.php Source : http://www.forecasts.org/hkd.htm Source : http://www.heritage.org/Index/country.cfm?ID=HongKong Source : http://chinese-school.netfirms.com/abacus-stocks-Hong- Kong.html The 7th of September, the American government put under gardianship the mortgages of Freddie Mac and Fanny Mae , it was the crisis of the devalued subprimes. [...]

[...] This means that the Hong Kong Stock Market is growing more and more since its creation and can compete the major international stock markets as London, New York or Paris[9]. Concerning the possibility of investments, non-residents and international companies or banks can easily trade derivatives, futures, warrants, and others in the Hong Kong Stock Exchange. And the fact that the Hong Kong Dollar can be exchanged with the US Dollar at a fixed rate is a very good asset to invest in (US$1=HK$ 7.73 The HKEX is internationally well known as a liberal market and that is why, a lot of multinational and companies from all over the world are listed in the HKEX as issuers. [...]

[...] The board takes the main decisions about the HKEx's missions, objectives, strategies, policies and business plans. The HKEx is the regulator of the Hong-Kong stock market. It supervises the issuers' list and the rules for the traded securities, the clearing and the settlements. To keep the investors' confidence, the HKEx must maintain a fair and well-informed stock market. In the 38th chapter of the listed rules, the HKEx defines the requirements to satisfy to be a listed issuer on the Honk-Kong stock market. [...]

[...] But at the same time, if the Chinese economy goes down in the future, what will happen to the Hong Kong Stock Exchange: a big failure or an independence of the Hong Kong financial system? That is why; the HKEX has to limit risks from the Chinese economy. Thus, the favorable position of the HKEX in China can be risky in the future because of the competition with the recent stock market in Shanghai that gets the second rank in Asia in 2007, overhauling the Hong Kong Stock Exchange. [...]