HKFE Announces Revised Margins for Futures Contracts

Market Operations

28 Jun 2010

Hong Kong Futures Exchange
(A wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited)

HKFE Announces Revised Margins for Futures Contracts

Hong Kong Futures Exchange Limited (HKFE), a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited (HKEx), has announced that with effect from the commencement of trading on Friday, 2 July 2010, 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 the margin information on the HKEx website.

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

Hang Seng Index	Full Rate	65,150	/lot	52,100	/lot
Hang Seng Index	Spread Rate	7,500	/spread	6,000	/spread

Mini-Hang Seng Index	Full Rate	13,030	/lot	10,420	/lot
Mini-Hang Seng Index	Spread Rate	1,500	/spread	1,200	/spread

H-shares Index	Full Rate	48,100	/lot	38,500	/lot
H-shares Index	Spread Rate	14,450	/spread	11,550	/spread

Mini H-shares Index	Full Rate	9,620	/lot	7,700	/lot
Mini H-shares Index	Spread Rate	2,890	/spread	2,310	/spread

Three-Year EFN	Full Rate	10,710	/lot	8,570	/lot
Three-Year EFN	Spread Rate	3,220	/spread	2,580	/spread

One-Month HIBOR	Full Rate	769	/lot	615	/lot
One-Month HIBOR	Spread Rate	Please refer to attached table

Three-Month HIBOR	Full Rate	1,590	/lot	1,270	/lot
Three-Month HIBOR	Spread Rate	Please refer to attached table

Aluminum Corporation of China Ltd	Full Rate	1,830	/lot	1,470	/lot
Aluminum Corporation of China Ltd	Spread Rate	549	/spread	441	/spread

Bank of China Ltd	Full Rate	272	/lot	218	/lot
Bank of China Ltd	Spread Rate	82	/spread	66	/spread

Bank of Communications Co Ltd (BCM-Multiplier = 1,000)	Full Rate	843	/lot	674	/lot
Bank of Communications Co Ltd (BCM-Multiplier = 1,000)	Spread Rate	253	/spread	203	/spread

Bank of Communications Co Ltd (BCA-Multiplier = 1,054)	Full Rate	888	/lot	710	/lot
Bank of Communications Co Ltd (BCA-Multiplier = 1,054)	Spread Rate	267	/spread	214	/spread

The Bank of East Asia Ltd	Full Rate	363	/lot	290	/lot
The Bank of East Asia Ltd	Spread Rate	109	/spread	87	/spread

BOC Hong Kong (Holdings) Ltd	Full Rate	554	/lot	443	/lot
BOC Hong Kong (Holdings) Ltd	Spread Rate	166	/spread	133	/spread

China Construction Bank Corporation	Full Rate	480	/lot	384	/lot
China Construction Bank Corporation	Spread Rate	144	/spread	116	/spread

China Communications Construction Co Ltd	Full Rate	727	/lot	582	/lot
China Communications Construction Co Ltd	Spread Rate	219	/spread	175	/spread

China Mobile Ltd	Full Rate	2,470	/lot	1,980	/lot
China Mobile Ltd	Spread Rate	741	/spread	594	/spread

China Unicom (Hong Kong) Ltd	Full Rate	2,450	/lot	1,960	/lot
China Unicom (Hong Kong) Ltd	Spread Rate	735	/spread	588	/spread

CITIC Pacific Ltd	Full Rate	1,750	/lot	1,400	/lot
CITIC Pacific Ltd	Spread Rate	525	/spread	420	/spread

Cheung Kong (Holdings) Ltd	Full Rate	5,830	/lot	4,660	/lot
Cheung Kong (Holdings) Ltd	Spread Rate	1,750	/spread	1,400	/spread

China Life Insurance Company Ltd	Full Rate	2,280	/lot	1,830	/lot
China Life Insurance Company Ltd	Spread Rate	684	/spread	549	/spread

CLP Holdings Ltd	Full Rate	1,790	/lot	1,430	/lot
CLP Holdings Ltd	Spread Rate	537	/spread	429	/spread

China Merchants Bank Co Ltd (CMB-Multiplier = 500 )	Full Rate	1,020	/lot	812	/lot
China Merchants Bank Co Ltd (CMB-Multiplier = 500 )	Spread Rate	306	/spread	244	/spread

China Merchants Bank Co Ltd (CMA-Multiplier = 532 )	Full Rate	1,084	/lot	863	/lot
China Merchants Bank Co Ltd (CMA-Multiplier = 532 )	Spread Rate	325	/spread	259	/spread

CNOOC Ltd	Full Rate	1,280	/lot	1,030	/lot
CNOOC Ltd	Spread Rate	384	/spread	309	/spread

Cathay Pacific Airways Ltd	Full Rate	1,110	/lot	881	/lot
Cathay Pacific Airways Ltd	Spread Rate	333	/spread	265	/spread

China Petroleum & Chemical Corporation	Full Rate	1,000	/lot	800	/lot
China Petroleum & Chemical Corporation	Spread Rate	300	/spread	240	/spread

China Telecom Corporation Ltd	Full Rate	797	/lot	638	/lot
China Telecom Corporation Ltd	Spread Rate	240	/spread	192	/spread

Esprit Holdings Ltd (ESP-Multiplier = 100)	Full Rate	709	/lot	567	/lot
Esprit Holdings Ltd (ESP-Multiplier = 100)	Spread Rate	213	/spread	171	/spread

Esprit Holdings Ltd (ESA-Multiplier = 102)	Full Rate	726	/lot	581	/lot
Esprit Holdings Ltd (ESA-Multiplier = 102)	Spread Rate	218	/spread	175	/spread

Foxconn International Holdings Ltd	Full Rate	884	/lot	707	/lot
Foxconn International Holdings Ltd	Spread Rate	266	/spread	213	/spread

Hongkong Electric Holdings Ltd	Full Rate	1,440	/lot	1,150	/lot
Hongkong Electric Holdings Ltd	Spread Rate	432	/spread	345	/spread

Hong Kong Exchanges and Clearing Ltd	Full Rate	823	/lot	659	/lot
Hong Kong Exchanges and Clearing Ltd	Spread Rate	247	/spread	198	/spread

HSBC Holdings Plc	Full Rate	2,300	/lot	1,840	/lot
HSBC Holdings Plc	Spread Rate	690	/spread	552	/spread

Hong Kong and China Gas Co Ltd (HKG: Multiplier =1,000)	Full Rate	1,230	/lot	980	/lot
Hong Kong and China Gas Co Ltd (HKG: Multiplier =1,000)	Spread Rate	369	/spread	294	/spread

Hong Kong and China Gas Co Ltd (HKA: Multiplier =1,100)	Full Rate	1,353	/lot	1,078	/lot
Hong Kong and China Gas Co Ltd (HKA: Multiplier =1,100)	Spread Rate	406	/spread	323	/spread

Henderson Land Development Co Ltd (HLD-Multiplier=1,000)	Full Rate	4,210	/lot	3,370	/lot
Henderson Land Development Co Ltd (HLD-Multiplier=1,000)	Spread Rate	1,270	/spread	1,020	/spread

Henderson Land Development Co Ltd (HLA-Multiplier= 1,021)	Full Rate	4,298	/lot	3,441	/lot
Henderson Land Development Co Ltd (HLA-Multiplier= 1,021)	Spread Rate	1,297	/spread	1,041	/spread

Huaneng Power International Inc	Full Rate	555	/lot	444	/lot
Huaneng Power International Inc	Spread Rate	167	/spread	134	/spread

Hang Seng Bank Ltd	Full Rate	667	/lot	534	/lot
Hang Seng Bank Ltd	Spread Rate	201	/spread	161	/spread

Hutchison Whampoa Ltd	Full Rate	3,730	/lot	2,980	/lot
Hutchison Whampoa Ltd	Spread Rate	1,120	/spread	894	/spread

Industrial and Commercial Bank of China Ltd	Full Rate	403	/lot	322	/lot
Industrial and Commercial Bank of China Ltd	Spread Rate	121	/spread	97	/spread

Li & Fung Ltd	Full Rate	7,110	/lot	5,690	/lot
Li & Fung Ltd	Spread Rate	2,140	/spread	1,710	/spread

MTR Corporation Ltd	Full Rate	870	/lot	696	/lot
MTR Corporation Ltd	Spread Rate	261	/spread	209	/spread

New World Development Co Ltd	Full Rate	1,200	/lot	960	/lot
New World Development Co Ltd	Spread Rate	360	/spread	288	/spread

Ping An Insurance (Group) Co of China Ltd	Full Rate	3,360	/lot	2,690	/lot
Ping An Insurance (Group) Co of China Ltd	Spread Rate	1,010	/spread	807	/spread

PetroChina Company Ltd	Full Rate	1,450	/lot	1,160	/lot
PetroChina Company Ltd	Spread Rate	435	/spread	348	/spread

PICC Property and Casualty Co Ltd	Full Rate	1,980	/lot	1,590	/lot
PICC Property and Casualty Co Ltd	Spread Rate	594	/spread	477	/spread

Sun Hung Kai Properties Ltd	Full Rate	8,420	/lot	6,730	/lot
Sun Hung Kai Properties Ltd	Spread Rate	2,530	/spread	2,020	/spread

Swire Pacific Ltd “A” (Trading Symbol: SWA & SWB)	Full Rate	3,550	/lot	2,840	/lot
Swire Pacific Ltd “A” (Trading Symbol: SWA & SWB)	Spread Rate	1,070	/spread	852	/spread

Wharf (Holdings) Ltd	Full Rate	3,350	/lot	2,680	/lot
Wharf (Holdings) Ltd	Spread Rate	1,010	/spread	804	/spread

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

Gold Futures	Full Rate	5,610	/lot	4,490	/lot
Gold Futures	Spread Rate	1,690	/spread	1,350	/spread

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

Spread Margin Rates
for Three-Month HIBOR Futures

Spread Combination	Initial Margin (HK$)	Maintenance Margin (HK$)
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	3,180 per spread	2,540 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	3,180 per spread	2,540 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	2,270 per spread	1,810 per spread
4th month vs 5th month 4th month vs 6th month 5th month vs 6th month	1,870 per spread	1,500 per spread
1st month vs 2nd month 1st month vs 3rd month 2nd month vs 3rd month	1,150 per spread	915 per spread
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	477 per spread	381 per spread

Spread Margin Rates
for One-Month HIBOR Futures

Spread Combination	Initial Margin (HK$)	Maintenance Margin (HK$)
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	482 per spread	386 per spread
1st month vs 4th month 1st month vs 5th month 1st month vs 6th month	421 per spread	337 per spread
1st month vs 2nd month 1st month vs 3rd month	281 per spread	225 per spread
2nd month vs 3rd month	233 per spread	186 per spread
4th month vs 5th month 4th month vs 6th month 5th month vs 6th month	231 per spread	185 per spread

Ends

Updated 28 Jun 2010