HKD-RMB Dual Counter Model

To further support the RMB development in the Hong Kong securities market, Hong Kong Exchanges and Clearing Limited (HKEX) launched the Hong Kong Dollar (HKD)-Renminbi (RMB) Dual Counter Model (Model) on 19 June 2023. For detailed information, please visit: HKEX website

“HKD-RMB Dual Counters” FAQ

1. Q: What is “Dual Counter Securities”? What is ”Dual Counter Model”?

A: “Dual Counter Securities” refer to securities with HKD and RMB counters (“HKD-RMB Dual Counters”) designated by the Exchange in accordance with the Rules of the Exchange and are eligible for DCMM programme. The list of Dual Counter Securities would be published by HKEX from time to time. Under the Model, investors will be able to interchange securities listed in both HKD and RMB counters. Securities under the two counters are of the same class and holdings of securities in the two counters can be transferred without change of beneficial ownership.

2. Q: Will a security automatically become a Dual Counter Security if it has two stock counters denominated in HKD and RMB for trading and settlement? 

A: No. Only securities with both HKD and RMB counters and that are designated by the Exchange in accordance with the Rules of the Exchange at and after the rollout of the Dual Counter Model are considered as Dual Counter Securities. 

3. Q: How may a Dual Counter Security under the Dual Counter Model be identified? How can investors distinguish between the two counters of a Dual Counter Security? Are there any identification in their stock codes and stock short names?

A: In line with the existing allocation arrangement, the stock code for the RMB counter will be a 5- digit number starting with an “8”, while a 5-digit number starting with a “0” would be assigned for the HKD counter. The last four digits of the stock codes for the two counters will normally be the same, in line with the existing allocation arrangement. 

• HKD counter - 0XXXX 

• RMB counter - 8XXXX 

The stock short names for the two counters are also different. For the RMB counter, the stock short name will end with -R to indicate that the securities are traded in RMB. There will be no specific marking in the stock short name of the HKD counter. The following is an illustrative example of the stock short names: 

• HKD counter – “XYZ” 

• RMB counter – “XYZ -R”

4. Q: Are holders of securities under the RMB counter and the HKD counter under the Dual Counter Model treated differently from a legal perspective? 

A: The Rules of the Exchange require that a Dual Counter Security may be traded in two different currencies provided that the securities concerned are of the same class. Holders of Dual Counter Securities shall be entitled to identical rights under the issuer’s constitutional documents. The HKD-RMB Dual Counter arrangement is for trading and settlement purposes only. Please refer to Question 13 for physical certificate deposit details.

5. Q: Which trading platforms support inter-counter trades? How can I conduct inter-counter trades?

A: Inter-counter trades are supported on all Internet channels, clients are also welcome to place a manual order through your Account Manager.

For trading of stocks in the same currency and the same counter, you can simply follow the existing buy/sell process with the respective stock codes.

However, if you would like to place an inter-counter order (meaning buying in one counter and selling in another counter), you should be aware that the stock code for other counter is required to be input by yourself. If you hold shares in HKD counter with stock code “0XXXX”, and you wish to sell the them in the RMB counter, then you will need to input the stock code “8XXXX” when placing orders and vice versa.

6. Q: Can I place a “good till date” (GTD) inter-counter order?

A: No, such order type is not supported.

7. Q: How will online trading platform's position page display when I have multiple intraday inter-counter transactions? How the number of shares is ultimately interchanged determined?

A：On the same trading day, if an inter-counter sell order is done, the shares you buy later at that counter will cancel out the number of shares already sold, so as to reduce the number of shares that need to be transferred from the other counter.

In this case, if you buy shares back after you have an inter-counter sell order fulfilled, there are chances that you encounter a situation where the number of shares held is still shown as 0. This is due to the fact that the system preferentially cancels the number of shares bought against the number of shares sold, reducing the number of shares that need to be transferred from the other counter. Only after the transferred shares are completely cancelled out, will the position be displayed at the same counter you buy.

The following is an example： (Please note that if you are using the XeT International APP, when the number of shares held is 0, the stock will not be displayed on the position page.)

Example：Assuming a customer holds HKD counter stock 00016 and RMB counter stock 80016, holding details as below:

8. Q: Will there be a counter transfer fee under “Dual Counter Model”? What are the transaction charges?

A: Transfer fee is not application for inter-counter transaction, the fee is charged if you place a stock transfer instruction only. 

For transaction fees, prevailing charges of our securities trading services apply. For trading of HKD counter shares, the transaction charges are collected in HKD. For trading of RMB counter shares, brokerage commission, stamp duty, transaction levy, HKEX Trading Fee, FRC Transaction Levy will be collected in equivalent RMB(according to official exchange rate) as determined by us. Related fees and charges will be calculated in HKD and collected in equivalent RMB.

9. Q: Can I request to transfer my stock from one counter to the other counter only without any executed transactions?

A: Yes, a transfer fee of 100 HKD per effected will be charged.

10. Would the buying of securities in one counter followed by the selling in the other counter within the same trading day be permissible?

A: Yes, subject to compliance with the market misconduct provisions under the Securities and Futures Ordinance and other related rules and regulations. This would be permissible under the existing Rules of the Exchange.

11. Q: Will dividends be paid in HKD or RMB?

A: An issuer may decide to pay dividends in HKD or RMB. 

12. Q: Will bonus or scrip shares be issued in the form of RMB counter securities or HKD counter securities? 

A: Normally investors will receive securities in the RMB counter or HKD counter based on the shareholding under the respective RMB or HKD counters as of the relevant shareholding record date in CCASS.

13. Q: Can physical certificates deposit or withdrawal service be provided for the RMB counter?

A: No,  under the “Dual Counter Model”, as the RMB counter is offered for secondary market trading and settlement purposes only, no physical certificate deposit or withdrawal service will be provided for the RMB counter and physical deposit and withdrawal of securities will not be allowed under the CCASS Rules.