Schedule for abolition of minimum brokerage revised
The Board of Directors of Hong Kong Exchanges and Clearing Limited (HKEx) decided today (Wednesday) to defer the abolition of minimum brokerage for one year until 1 April 2003.
HKEx believes making brokerage freely negotiable is the best way forward for Hong Kong, and this view is shared by the government.
HKEx also believes that, in the current market condition, deferral of abolition of minimum brokerage will have no impact on the trading revenue and profitability of HKEx.
Subsidiaries of HKEx, the Stock Exchange of Hong Kong and the Hong Kong Futures Exchange, will amend their rules and contract specifications so that abolition of minimum commissions will be implemented on 1 April 2003.