HKFE Announces Revised Margins for Futures Contracts

Market Operations

28 Mar 2002

Hong Kong Futures Exchange (HKFE), a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited (HKEx), announced today (Thursday) that with effect from the commencement of trading on Tuesday, 2 April 2002, the minimum margins to be collected by an Exchange Participant from its clients in respect of their dealings in the following futures contracts will be as outlined in the table below. The adjustments are based on the clearing company's normal procedures and standard margining methodology.

For the current margins, please refer to HKEx's website (http://www.hkex.com.hk) and see Trading Information - Futures & Options in the Derivatives Market section.

Futures Contract	Margin Rate	Initial Margin (HK$)		Maintenance Margin (HK$)
Hang Seng Index	Full Rate	35,500	per lot	28,400	per lot
Hang Seng Index	Spread Rate	3,750	/lot/side	3,000	/lot/side
Mini-Hang Seng Index	Full Rate	7,100	per lot	5,680	per lot
Mini-Hang Seng Index	Spread Rate	750	/lot/side	600	/lot/side
MSCI China Free Index	Full Rate	12,100	per lot	9,680	per lot
MSCI China Free Index	Spread Rate	1,815	/lot/side	1,452	/lot/side
Three-Month HIBOR	Full Rate	750	per lot	600	per lot
Three-Month HIBOR	Spread Rate	Please refer tothe attached table
One-Month HIBOR	Full Rate	575	per lot	460	per lot
One-Month HIBOR	Spread Rate	Please refer to the attached table
Three-Year EFN	Full Rate	14,000	per lot	11,200	per lot
Three-Year EFN	Spread Rate	2,100	/lot/side	1,680	/lot/side
HSBC Holdings Plc	Full Rate	2,280	per lot	1,824	per lot
HSBC Holdings Plc	Spread Rate	340	/lot/side	272	/lot/side
Pacific Century CyberWorks Ltd	Full Rate	190	per lot	152	per lot
Pacific Century CyberWorks Ltd	Spread Rate	30	/lot/side	24	/lot/side
Cheung Kong (Holdings) Ltd	Full Rate	6,000	per lot	4,800	per lot
Cheung Kong (Holdings) Ltd	Spread Rate	900	/lot/side	720	/lot/side
Swire Pacific Ltd. 'A' Shares	Full Rate	2,200	per lot	1,760	per lot
Swire Pacific Ltd. 'A' Shares	Spread Rate	330	/lot/side	264	/lot/side
CITIC Pacific Ltd	Full Rate	1,340	per lot	1,072	per lot
CITIC Pacific Ltd	Spread Rate	200	/lot/side	160	/lot/side
China Resources Enterprise Ltd	Full Rate	1,120	per lot	896	per lot
China Resources Enterprise Ltd	Spread Rate	170	/lot/side	136	/lot/side
Shanghai Industrial Holdings	Full Rate	1,140	per lot	912	per lot
Shanghai Industrial Holdings	Spread Rate	170	/lot/side	136	/lot/side
Hongkong Electric Holdings	Full Rate	940	per lot	752	per lot
Hongkong Electric Holdings	Spread Rate	145	/lot/side	116	/lot/side
Hang Seng Bank	Full Rate	555	per lot	444	per lot
Hang Seng Bank	Spread Rate	85	/lot/side	68	/lot/side
Henderson Land Development Co Ltd	Full Rate	3,700	per lot	2,960	per lot
Henderson Land Development Co Ltd	Spread Rate	555	/lot/side	444	/lot/side
Hutchison Whampoa Ltd	Full Rate	5,250	per lot	4,200	per lot
Hutchison Whampoa Ltd	Spread Rate	790	/lot/side	632	/lot/side
Sun Hung Kai Properties Ltd	Full Rate	5,800	per lot	4,640	per lot
Sun Hung Kai Properties Ltd	Spread Rate	870	/lot/side	696	/lot/side
CLP Holdings Ltd	Full Rate	975	per lot	780	per lot
CLP Holdings Ltd	Spread Rate	145	/lot/side	116	/lot/side
The Wharf (Holdings) Ltd	Full Rate	1,420	per lot	1,136	per lot
The Wharf (Holdings) Ltd	Spread Rate	215	/lot/side	172	/lot/side
New World Development Co Ltd	Full Rate	600	per lot	480	per lot
New World Development Co Ltd	Spread Rate	90	/lot/side	72	/lot/side
Legend Holdings Ltd	Full Rate	860	per lot	688	per lot
Legend Holdings Ltd	Spread Rate	130	/lot/side	104	/lot/side
China Mobile (HK) Ltd	Full Rate	1,300	per lot	1,040	per lot
China Mobile (HK) Ltd	Spread Rate	195	/lot/side	156	/lot/side
The Bank of East Asia Ltd	Full Rate	200	per lot	160	per lot
The Bank of East Asia Ltd	Spread Rate	30	/lot/side	24	/lot/side
Hong Kong and China Gas Co Ltd	Full Rate	700	per lot	560	per lot
Hong Kong and China Gas Co Ltd	Spread Rate	105	/lot/side	84	/lot/side
MTR Corporation Ltd	Full Rate	365	per lot	292	per lot
MTR Corporation Ltd	Spread Rate	55	/lot/side	44	/lot/side
China Merchants Holdings (International) Co Ltd	Full Rate	960	per lot	768	per lot
China Merchants Holdings (International) Co Ltd	Spread Rate	145	/lot/side	116	/lot/side
Johnson Electric Holdings Ltd	Full Rate	630	per lot	504	per lot
Johnson Electric Holdings Ltd	Spread Rate	95	/lot/side	76	/lot/side
Cathay Pacific Airways Ltd	Full Rate	1,270	per lot	1,016	per lot
Cathay Pacific Airways Ltd	Spread Rate	195	/lot/side	156	/lot/side
Hong Kong Exchanges and Clearing Ltd	Full Rate	2,460	per lot	1,968	per lot
Hong Kong Exchanges and Clearing Ltd	Spread Rate	370	/lot/side	296	/lot/side
Li & Fung Ltd	Full Rate	2,460	per lot	1,968	per lot
Li & Fung Ltd	Spread Rate	370	/lot/side	296	/lot/side
China Unicom Ltd	Full Rate	1,380	per lot	1,104	per lot
China Unicom Ltd	Spread Rate	205	/lot/side	164	/lot/side
PetroChina Co Ltd	Full Rate	200	per lot	160	per lot
PetroChina Co Ltd	Spread Rate	30	/lot/side	24	/lot/side
Cheung Kong Infrastructure Holdings Ltd	Full Rate	800	per lot	640	per lot
Cheung Kong Infrastructure Holdings Ltd	Spread Rate	120	/lot/side	96	/lot/side
Cosco Pacific Ltd	Full Rate	1,060	per lot	848	per lot
Cosco Pacific Ltd	Spread Rate	160	/lot/side	128	/lot/side

Futures Contract	Margin Rate	Initial Margin (HK$)		Maintenance Margin (HK$)

Currency Futures Contracts

		Initial (US$)	Maintenance (US$)
Rolling Forex Japanese Yen	Full Rate	1,875 per lot	1,500 per lot
Rolling Forex British Pound	Full Rate	2,750 per lot	2,200 per lot
Rolling Forex Euro	Full Rate	1,750 per lot	1,400 per lot

		Initial (US$)	Maintenance (US$)

US Stock Futures Contracts

	Margin Rate	Initial Margin (US$)		Maintenance Margin (US$)
Cisco Systems Incorporated	Full Rate	315	per lot	252	per lot
Cisco Systems Incorporated	Spread Rate	50	/lot/side	40	/lot/side
IBM Corporation	Full Rate	1,040	per lot	832	per lot
IBM Corporation	Spread Rate	155	/lot/side	124	/lot/side
Intel Corporation	Full Rate	415	per lot	332	per lot
Intel Corporation	Spread Rate	60	/lot/side	48	/lot/side
Microsoft Corporation	Full Rate	565	per lot	452	per lot
Microsoft Corporation	Spread Rate	90	/lot/side	72	/lot/side
Oracle Corporation	Full Rate	285	per lot	228	per lot
Oracle Corporation	Spread Rate	40	/lot/side	32	/lot/side

	Margin Rate	Initial Margin (US$)		Maintenance Margin (US$)

Japan Stock Futures Contracts

	Margin Rate	Initial Margin (JPY)		Maintenance Margin (JPY)
NTT DoCoMo Incorporated	Full Rate	45,400	per lot	36,320	per lot
NTT DoCoMo Incorporated	Spread Rate	6,800	/lot/side	5,440	/lot/side
Sony Corporation	Full Rate	74,700	per lot	59,760	per lot
Sony Corporation	Spread Rate	11,200	/lot/side	8,960	/lot/side
Nippon Telegraph & Telephone Corporation	Full Rate	65,500	per lot	52,400	per lot
Nippon Telegraph & Telephone Corporation	Spread Rate	13,150	/lot/side	10,520	/lot/side
Fujitsu Ltd	Full Rate	147,000	per lot	117,600	per lot
Fujitsu Ltd	Spread Rate	22,000	/lot/side	17,600	/lot/side
Toyota Motor Corporation	Full Rate	40,000	per lot	32,000	per lot
Toyota Motor Corporation	Spread Rate	6,000	/lot/side	4,800	/lot/side

	Margin Rate	Initial Margin (JPY)		Maintenance Margin (JPY)

Korea Stock Futures Contracts

	Margin Rate	Initial Margin (KRW)		Maintenance Margin (KRW)
Korea Electric Power Corporation	Full Rate	300,000	per lot	240,000	per lot
Korea Electric Power Corporation	Spread Rate	45,000	/lot/side	36,000	/lot/side
Korea Telecom Corporation	Full Rate	685,000	per lot	548,000	per lot
Korea Telecom Corporation	Spread Rate	102,750	/lot/side	82,200	/lot/side
Samsung Electronics Co Ltd	Full Rate	4,500,000	per lot	3,600,000	per lot
Samsung Electronics Co Ltd	Spread Rate	675,000	/lot/side	540,000	/lot/side
SK Telecom Co Ltd	Full Rate	2,950,000	per lot	2,360,000	per lot
SK Telecom Co Ltd	Spread Rate	442,500	/lot/side	354,000	/lot/side
Kookmin Bank	Full Rate	793,000	per lot	634,400	per lot
Kookmin Bank	Spread Rate	119,000	/lot/side	95,200	/lot/side

	Margin Rate	Initial Margin (KRW)		Maintenance Margin (KRW)

Taiwan Stock Futures Contracts

	Margin Rate	Initial Margin (NT$)		Maintenance Margin (NT$)
Mosel Vitelic Incorporated	Full Rate	36,500	per lot	29,200	per lot
Mosel Vitelic Incorporated	Spread Rate	5,500	/lot/side	4,400	/lot/side
Ritek Corporation	Full Rate	54,000	per lot	43,200	per lot
Ritek Corporation	Spread Rate	8,100	/lot/side	6,480	/lot/side
Taiwan Semiconductor Manufacturing Co Ltd	Full Rate	115,000	per lot	92,000	per lot
Taiwan Semiconductor Manufacturing Co Ltd	Spread Rate	17,250	/lot/side	13,800	/lot/side
Taiwan Semiconductor Manufacturing Co Ltd (Temporary)	Full Rate	11,500	per lot	9,200	per lot
Taiwan Semiconductor Manufacturing Co Ltd (Temporary)	Spread Rate	1,725	/lot/side	1,380	/lot/side
United Micro Electronics Corporation	Full Rate	76,000	per lot	60,800	per lot
United Micro Electronics Corporation	Spread Rate	11,400	/lot/side	9,120	/lot/side
Winbond Electronics Corporation	Full Rate	55,000	per lot	44,000	per lot
Winbond Electronics Corporation	Spread Rate	8,250	/lot/side	6,600	/lot/side

	Margin Rate	Initial Margin (NT$)		Maintenance Margin (NT$)

HKFE emphasised that the above are minimum rates and Exchange Participants should set their margin requirements according to their clients' individual circumstances.

Spread Margin Rates
for One-Month HIBOR Futures

Spread Combination	Initial Margin	Maintenance Margin
1st month vs 4th month 1st month vs 5th month 1st month vs 6th month	HK$625 per spread	HK$500 per spread
1st month vs 2nd month 1st month vs 3rd month 2nd month vs 4th month 2nd month vs 5th month 2nd month vs 6th month 3rd month vs 4th month 3rd month vs 5th month 3rd month vs 6th month	HK$500 per spread	HK$400 per spread
4th month vs 5th month 4th month vs 6th month 5th month vs 6th month	HK$375 per spread	HK$300 per spread
2nd month vs 3rd month	HK$225 per spread	HK$180 per spread

Spread Combination	Initial Margin	Maintenance Margin

Spread Margin Rates
for Three-Month HIBOR Futures

Spread Combination	Initial Margin	Maintenance Margin
1st month vs 7th month 1st month vs 8th month 1st month vs 9th month 1st month vs 10th month 2nd month vs 7th month 2nd month vs 8th month 2nd month vs 9th month 2nd month vs 10th month 3rd month vs 7th month 3rd month vs 8th month 3rd month vs 9th month 3rd month vs 10th month	HK$750 per spread	HK$600 per spread
4th month vs 7th month 4th month vs 8th month 4th month vs 9th month 4th month vs 10th month 5th month vs 7th month 5th month vs 8th month 5th month vs 9th month 5th month vs 10th month 6th month vs 7th month 6th month vs 8th month 6th month vs 9th month 6th month vs 10th month	HK$600 per spread	HK$480 per spread
1st month vs 4th month 1st month vs 5th month 1st month vs 6th month 2nd month vs 4th month 2nd month vs 5th month 2nd month vs 6th month 3rd month vs 4th month 3rd month vs 5th month 3rd month vs 6th month 7th month vs 8th month 7th month vs 9th month 7th month vs 10th month 8th month vs 9th month 8th month vs 10th month 9th month vs 10th month	HK$500 per spread	HK$400 per spread
1st month vs 2nd month 1st month vs 3rd month 2nd month vs 3rd month 4th month vs 5th month 4th month vs 6th month 5th month vs 6th month	HK$350 per spread	HK$280 per spread

Spread Combination	Initial Margin	Maintenance Margin

Updated 28 Mar 2002