HKFE Announces Revised Margins for Futures Contracts

Market Operations

30 Aug 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 Wednesday, 1 September 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	66,150	/lot	52,900	/lot
Hang Seng Index	Spread Rate	7,500	/spread	6,000	/spread

Mini-Hang Seng Index	Full Rate	13,230	/lot	10,580	/lot
Mini-Hang Seng Index	Spread Rate	1,500	/spread	1,200	/spread

H-shares Index	Full Rate	36,500	/lot	29,200	/lot
H-shares Index	Spread Rate	10,950	/spread	8,800	/spread

Mini H-shares Index	Full Rate	7,300	/lot	5,840	/lot
Mini H-shares Index	Spread Rate	2,190	/spread	1,760	/spread

Three-Year EFN	Full Rate	10,880	/lot	8,700	/lot
Three-Year EFN	Spread Rate	3,270	/spread	2,610	/spread

One-Month HIBOR	Full Rate	949	/lot	759	/lot
One-Month HIBOR	Spread Rate	Please refer to attached table

Three-Month HIBOR	Full Rate	1,080	/lot	864	/lot
Three-Month HIBOR	Spread Rate	Please refer to attached table

Aluminum Corporation of China Ltd	Full Rate	1,280	/lot	1,030	/lot
Aluminum Corporation of China Ltd	Spread Rate	384	/spread	309	/spread

Bank of China Ltd	Full Rate	251	/lot	201	/lot
Bank of China Ltd	Spread Rate	76	/spread	61	/spread

Bank of Communications Co Ltd (BCM-Multiplier = 1,000)	Full Rate	569	/lot	456	/lot
Bank of Communications Co Ltd (BCM-Multiplier = 1,000)	Spread Rate	171	/spread	137	/spread

Bank of Communications Co Ltd (BCA-Multiplier = 1,054)	Full Rate	600	/lot	480	/lot
Bank of Communications Co Ltd (BCA-Multiplier = 1,054)	Spread Rate	180	/spread	144	/spread

The Bank of East Asia Ltd	Full Rate	388	/lot	310	/lot
The Bank of East Asia Ltd	Spread Rate	117	/spread	93	/spread

BOC Hong Kong (Holdings) Ltd	Full Rate	764	/lot	612	/lot
BOC Hong Kong (Holdings) Ltd	Spread Rate	230	/spread	184	/spread

China Construction Bank Corporation	Full Rate	404	/lot	325	/lot
China Construction Bank Corporation	Spread Rate	122	/spread	98	/spread

China Communications Construction Co Ltd	Full Rate	564	/lot	451	/lot
China Communications Construction Co Ltd	Spread Rate	170	/spread	136	/spread

China Mobile Ltd	Full Rate	2,570	/lot	2,050	/lot
China Mobile Ltd	Spread Rate	771	/spread	615	/spread

China Unicom (Hong Kong) Ltd	Full Rate	1,630	/lot	1,300	/lot
China Unicom (Hong Kong) Ltd	Spread Rate	489	/spread	390	/spread

CITIC Pacific Ltd	Full Rate	1,350	/lot	1,080	/lot
CITIC Pacific Ltd	Spread Rate	405	/spread	324	/spread

Cheung Kong (Holdings) Ltd	Full Rate	6,220	/lot	4,980	/lot
Cheung Kong (Holdings) Ltd	Spread Rate	1,870	/spread	1,500	/spread

China Life Insurance Company Ltd	Full Rate	2,640	/lot	2,110	/lot
China Life Insurance Company Ltd	Spread Rate	792	/spread	633	/spread

CLP Holdings Ltd	Full Rate	1,820	/lot	1,460	/lot
CLP Holdings Ltd	Spread Rate	546	/spread	438	/spread

China Merchants Bank Co Ltd (CMB-Multiplier = 500 )	Full Rate	855	/lot	684	/lot
China Merchants Bank Co Ltd (CMB-Multiplier = 500 )	Spread Rate	257	/spread	206	/spread

China Merchants Bank Co Ltd (CMA-Multiplier = 532 )	Full Rate	910	/lot	728	/lot
China Merchants Bank Co Ltd (CMA-Multiplier = 532 )	Spread Rate	273	/spread	218	/spread

CNOOC Ltd	Full Rate	869	/lot	695	/lot
CNOOC Ltd	Spread Rate	261	/spread	209	/spread

Cathay Pacific Airways Ltd	Full Rate	1,640	/lot	1,310	/lot
Cathay Pacific Airways Ltd	Spread Rate	492	/spread	393	/spread

China Petroleum & Chemical Corporation	Full Rate	782	/lot	625	/lot
China Petroleum & Chemical Corporation	Spread Rate	235	/spread	188	/spread

China Telecom Corporation Ltd	Full Rate	513	/lot	410	/lot
China Telecom Corporation Ltd	Spread Rate	154	/spread	123	/spread

Esprit Holdings Ltd	Full Rate	435	/lot	348	/lot
Esprit Holdings Ltd	Spread Rate	131	/spread	105	/spread

Foxconn International Holdings Ltd	Full Rate	692	/lot	554	/lot
Foxconn International Holdings Ltd	Spread Rate	208	/spread	167	/spread

Hongkong Electric Holdings Ltd	Full Rate	1,500	/lot	1,200	/lot
Hongkong Electric Holdings Ltd	Spread Rate	450	/spread	360	/spread

Hong Kong Exchanges and Clearing Ltd	Full Rate	774	/lot	620	/lot
Hong Kong Exchanges and Clearing Ltd	Spread Rate	233	/spread	186	/spread

HSBC Holdings Plc	Full Rate	2,000	/lot	1,600	/lot
HSBC Holdings Plc	Spread Rate	600	/spread	480	/spread

Hong Kong and China Gas Co Ltd (HKG-Multiplier =1,000)	Full Rate	1,190	/lot	952	/lot
Hong Kong and China Gas Co Ltd (HKG-Multiplier =1,000)	Spread Rate	357	/spread	286	/spread

Hong Kong and China Gas Co Ltd (HKA-Multiplier =1,100)	Full Rate	1,309	/lot	1,048	/lot
Hong Kong and China Gas Co Ltd (HKA-Multiplier =1,100)	Spread Rate	393	/spread	315	/spread

Henderson Land Development Co Ltd (HLD-Multiplier=1,000)	Full Rate	3,260	/lot	2,610	/lot
Henderson Land Development Co Ltd (HLD-Multiplier=1,000)	Spread Rate	978	/spread	783	/spread

Henderson Land Development Co Ltd (HLA-Multiplier= 1,021)	Full Rate	3,329	/lot	2,663	/lot
Henderson Land Development Co Ltd (HLA-Multiplier= 1,021)	Spread Rate	999	/spread	799	/spread

Huaneng Power International Inc	Full Rate	590	/lot	472	/lot
Huaneng Power International Inc	Spread Rate	177	/spread	142	/spread

Hang Seng Bank Ltd	Full Rate	675	/lot	540	/lot
Hang Seng Bank Ltd	Spread Rate	203	/spread	162	/spread

Hutchison Whampoa Ltd	Full Rate	6,170	/lot	4,940	/lot
Hutchison Whampoa Ltd	Spread Rate	1,860	/spread	1,490	/spread

Industrial and Commercial Bank of China Ltd	Full Rate	352	/lot	282	/lot
Industrial and Commercial Bank of China Ltd	Spread Rate	106	/spread	85	/spread

Li & Fung Ltd	Full Rate	6,270	/lot	5,020	/lot
Li & Fung Ltd	Spread Rate	1,890	/spread	1,510	/spread

MTR Corporation Ltd	Full Rate	884	/lot	707	/lot
MTR Corporation Ltd	Spread Rate	266	/spread	213	/spread

New World Development Co Ltd	Full Rate	1,210	/lot	965	/lot
New World Development Co Ltd	Spread Rate	363	/spread	290	/spread

Ping An Insurance (Group) Co of China Ltd	Full Rate	3,060	/lot	2,450	/lot
Ping An Insurance (Group) Co of China Ltd	Spread Rate	918	/spread	735	/spread

PetroChina Company Ltd	Full Rate	1,060	/lot	847	/lot
PetroChina Company Ltd	Spread Rate	318	/spread	255	/spread

PICC Property and Casualty Co Ltd	Full Rate	2,100	/lot	1,680	/lot
PICC Property and Casualty Co Ltd	Spread Rate	630	/spread	504	/spread

Sun Hung Kai Properties Ltd	Full Rate	7,050	/lot	5,640	/lot
Sun Hung Kai Properties Ltd	Spread Rate	2,120	/spread	1,700	/spread

Swire Pacific Ltd “A” (Trading Symbol: SWA & SWB)	Full Rate	2,900	/lot	2,320	/lot
Swire Pacific Ltd “A” (Trading Symbol: SWA & SWB)	Spread Rate	870	/spread	696	/spread

Wharf (Holdings) Ltd	Full Rate	2,550	/lot	2,040	/lot
Wharf (Holdings) Ltd	Spread Rate	765	/spread	612	/spread

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

Gold Futures	Full Rate	4,610	/lot	3,690	/lot
Gold Futures	Spread Rate	1,390	/spread	1,110	/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	2,160 per spread	1,730 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	2,160 per spread	1,730 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	2,120 per spread	1,700 per spread
4th month vs 5th month 4th month vs 6th month 5th month vs 6th month	1,730 per spread	1,380 per spread
1st month vs 2nd month 1st month vs 3rd month 2nd month vs 3rd month	1,230 per spread	978 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	324 per spread	260 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	449 per spread	359 per spread
1st month vs 2nd month 1st month vs 3rd month	418 per spread	335 per spread
1st month vs 4th month 1st month vs 5th month 1st month vs 6th month	404 per spread	323 per spread
4th month vs 5th month 4th month vs 6th month 5th month vs 6th month	246 per spread	197 per spread
2nd month vs 3rd month	246 per spread	197 per spread

Ends

Updated 30 Aug 2010