Latest news with #StockConnect
The Sun
5 days ago
- Business
- The Sun
DL Holdings Solidifies Web3.0 with '3-Phase' Plan
HONG KONG SAR - Media OutReach Newswire - 24 July 2025 - Recently, DL Holdings Group ( has entered into strategic cooperation agreements with ViaBTC, Asseto, and Rich Dragon Consultants, while actively advancing the tokenization of HK$500 million in assets for the DL Tower. These initiatives have sparked significant market attention, with the stock price surging over 70% in a single day. On July 23, DL Holdings issued a voluntary announcement on the Hong Kong Stock Exchange, detailing its latest strategic plans and development roadmap for the digital finance sector. Three-Phase Strategic Plan to Build a Comprehensive Digital Finance Ecosystem DL Holdings' digital finance development strategy will be implemented in three phases: In the first phase, DL will establish a licensed virtual asset over-the-counter (VA OTC) and prime brokerage business. This will focus on providing compliant virtual asset trading services for institutions and ultra-high-net-worth clients, creating stable trading and clearing channels, and establishing it as the core revenue engine for the group's digital finance operations. In the second phase, the group plans to build an RWA tokenization and asset management platform. Leveraging its existing client resources and technological infrastructure — particularly its ultra-high-net-worth community and professional investor network — DL will tokenize real-world assets (RWA) to enhance liquidity and optimize asset management efficiency. In the third phase, DL will construct a compliant cross-border digital asset fund ecosystem. The 'International - Hong Kong' hybrid model will combine the advantages of open-market regulations with the needs of global investors. Leveraging top-tier quantitative trading teams and fund-of-funds (FoF) networks, the group aims to scale its assets under management (AUM) and lead the development of a globalized digital capital market. Core Strengths Lay the Foundation for Growth DL's ambitious plans are backed by years of solid groundwork. As a compliant financial institution holding full licenses from the Hong Kong Securities and Futures Commission (Types 1, 4, 6, and 9), Singapore's MAS, and the Cayman Islands, DL has a first-mover advantage in cross-border regulatory adaptation. Its inclusion in the 'Stock Connect' program has not only attracted more capital but also increased investor awareness of DL. Currently, the group has established a three-tier user matrix: a core circle of over 60 ultra-high-net-worth family offices, more than 1,000 professional investors active on DL Securities' platform, and NeuralFin's social platform targeting millions of mass users. This 'pyramid' structure supports a full spectrum of services, from high-end asset trading to inclusive finance. Notably, DL boasts strong technological and resource reserves. NeuralFin, a subsidiary of DL, has secured a strategic investment from Qraft, a top Asian FinTech company backed by SoftBank. In the Web3.0 space, DL has partnered with ViaBTC, Asseto, and other leading institutions for RWA technology platforms. With operational networks spanning Hong Kong SAR, Silicon Valley, Singapore, and other key markets, DL is shaping a cross-border ecosystem bridging traditional asset management and digital finance. Looking Ahead: Accelerating the Implementation of Digital Finance Strategies The market's most pressing question—the timeline for execution—has also been addressed. DL revealed in its announcement that it will focus on three key tasks in the second half of the year: 1. Extending its existing Hong Kong SFC licenses to cover virtual assets, with approval expected by October 2025. 2. Applying for a virtual asset OTC license while preparing stablecoin use cases and pursuing stablecoin qualifications. 3. Closely monitoring the Hong Kong SFC's policies on security token offerings (STOs) and RWA issuance to adjust business strategies accordingly. 'RWA and stablecoins are not just technological innovations but a transformative shift toward financial inclusivity' said Andy Chen, Chairman of DL Holdings and NeuralFin. 'DL doesn't ride trends; it pioneers them. We don't fear change; we lead it. Because true wealth belongs to those who can see the future.' From the tokenization of HK$500 million in DL Tower assets to the clear outline of its 'three-Phase' strategy, DL is steadily navigating the Web3.0 wave with compliance as its anchor and technology as its oar. This confidence stems from its belief in Hong Kong's vision to become a global Web3.0 hub. By adhering to principles of compliance, security, and foresight, DL is driving the next generation of financial infrastructure, pioneering digital capital markets and RWA tokenization to build a unique digital financial ecosystem. Moving forward, DL will continue to balance innovation with compliance, accelerating growth through organic expansion and strategic acquisitions to create long-term value for shareholders and partners in the Web3.0 era.
Arabian Post
5 days ago
- Business
- Arabian Post
DL Holdings Solidifies Web3.0 with '3-Phase' Plan
HONG KONG SAR – Media OutReach Newswire – 24 July 2025 – Recently, DL Holdings Group ( has entered into strategic cooperation agreements with ViaBTC, Asseto, and Rich Dragon Consultants, while actively advancing the tokenization of HK$500 million in assets for the DL Tower. These initiatives have sparked significant market attention, with the stock price surging over 70% in a single day. On July 23, DL Holdings issued a voluntary announcement on the Hong Kong Stock Exchange, detailing its latest strategic plans and development roadmap for the digital finance sector. Three-Phase Strategic Plan to Build a Comprehensive Digital Finance Ecosystem DL Holdings' digital finance development strategy will be implemented in three phases: ADVERTISEMENT In the first phase, DL will establish a licensed virtual asset over-the-counter (VA OTC) and prime brokerage business. This will focus on providing compliant virtual asset trading services for institutions and ultra-high-net-worth clients, creating stable trading and clearing channels, and establishing it as the core revenue engine for the group's digital finance operations. In the second phase, the group plans to build an RWA tokenization and asset management platform. Leveraging its existing client resources and technological infrastructure — particularly its ultra-high-net-worth community and professional investor network — DL will tokenize real-world assets (RWA) to enhance liquidity and optimize asset management efficiency. In the third phase, DL will construct a compliant cross-border digital asset fund ecosystem. The 'International – Hong Kong' hybrid model will combine the advantages of open-market regulations with the needs of global investors. Leveraging top-tier quantitative trading teams and fund-of-funds (FoF) networks, the group aims to scale its assets under management (AUM) and lead the development of a globalized digital capital market. Core Strengths Lay the Foundation for Growth DL's ambitious plans are backed by years of solid groundwork. As a compliant financial institution holding full licenses from the Hong Kong Securities and Futures Commission (Types 1, 4, 6, and 9), Singapore's MAS, and the Cayman Islands, DL has a first-mover advantage in cross-border regulatory adaptation. Its inclusion in the 'Stock Connect' program has not only attracted more capital but also increased investor awareness of DL. Currently, the group has established a three-tier user matrix: a core circle of over 60 ultra-high-net-worth family offices, more than 1,000 professional investors active on DL Securities' platform, and NeuralFin's social platform targeting millions of mass users. This 'pyramid' structure supports a full spectrum of services, from high-end asset trading to inclusive finance. ADVERTISEMENT Notably, DL boasts strong technological and resource reserves. NeuralFin, a subsidiary of DL, has secured a strategic investment from Qraft, a top Asian FinTech company backed by SoftBank. In the Web3.0 space, DL has partnered with ViaBTC, Asseto, and other leading institutions for RWA technology platforms. With operational networks spanning Hong Kong SAR, Silicon Valley, Singapore, and other key markets, DL is shaping a cross-border ecosystem bridging traditional asset management and digital finance. Looking Ahead: Accelerating the Implementation of Digital Finance Strategies The market's most pressing question—the timeline for execution—has also been addressed. DL revealed in its announcement that it will focus on three key tasks in the second half of the year: 1. Extending its existing Hong Kong SFC licenses to cover virtual assets, with approval expected by October 2025. 2. Applying for a virtual asset OTC license while preparing stablecoin use cases and pursuing stablecoin qualifications. 3. Closely monitoring the Hong Kong SFC's policies on security token offerings (STOs) and RWA issuance to adjust business strategies accordingly. 'RWA and stablecoins are not just technological innovations but a transformative shift toward financial inclusivity' said Andy Chen, Chairman of DL Holdings and NeuralFin. 'DL doesn't ride trends; it pioneers them. We don't fear change; we lead it. Because true wealth belongs to those who can see the future.' From the tokenization of HK$500 million in DL Tower assets to the clear outline of its 'three-Phase' strategy, DL is steadily navigating the Web3.0 wave with compliance as its anchor and technology as its oar. This confidence stems from its belief in Hong Kong's vision to become a global Web3.0 hub. By adhering to principles of compliance, security, and foresight, DL is driving the next generation of financial infrastructure, pioneering digital capital markets and RWA tokenization to build a unique digital financial ecosystem. Moving forward, DL will continue to balance innovation with compliance, accelerating growth through organic expansion and strategic acquisitions to create long-term value for shareholders and partners in the Web3.0 era. Hashtag: #DLHoldings The issuer is solely responsible for the content of this announcement.
Reuters
5 days ago
- Business
- Reuters
Mainland China capital surge fuelling Hong Kong investment boom
HONG KONG, July 24 (Reuters) - Surging investment into Hong Kong by mainland Chinese investors is increasing market liquidity and depth while strengthening the island's position as a gateway to China. Short-term headwinds could slow this capital flood, but market innovation and the push for diversification are likely to propel this trend over time. The Stock Connect programme, launched by the Hong Kong, Shanghai and Shenzhen exchanges in November 2014, enabled mainland Chinese investors to trade selected stocks listed in Hong Kong – the so-called "Southbound Stock Connect" – while also facilitating flows in the opposite direction. The Connect programme was expanded between 2017 and 2023 to include bonds, ETFs and interest rate swaps. Since 2015, the first full year of the programme's operation, onshore trades through the Southbound route have grown at an impressive 32% compound annual growth rate. In fact, Southbound's share of average daily turnover grew from 1.6% in 2015 to 18% in 2024, according to data from the Hong Kong Exchange (HKE). Onshore investors have consistently bought more through Southbound than they have sold, resulting in net inflows every year since the programme began. The flows were healthy but somewhat volatile until 2023, after which they skyrocketed. Net inflows more than doubled in 2024, and that figure has been nearly matched in just the first six months of 2025. What explains this appetite for Hong Kong-listed stocks? Geographic diversification is clearly a strong motive, as mainland Chinese investors have limited avenues for owning overseas assets. Investors may also seek to gain exposure to companies in key sectors that are under-represented in domestic markets, such as technology or insurance. For example, leading Chinese internet platforms Tencent and Alibaba, insurance market leader AIA and global bank HSBC are not listed on onshore indices. However, many of stocks popular among mainland investors are listed both onshore and in Hong Kong, again raising the question of why capital is increasingly flooding into the latter. The answer may simply be price. Many of these dual-listed stocks trade at far cheaper valuations in Hong Kong than in Shanghai or Shenzhen. The average premium of onshore "A-shares", tracked by the Hang Seng AH Premium Index, was only 3.2% prior to the commencement of the Stock Connect programme. This figure jumped to 34.1% soon after, as international money flowed into mainland Chinese equities through Northbound Connect, inflating valuations. The premium remains elevated, though it has declined recently. The influx of capital has increased the Hong Kong equity market's liquidity and depth, making it increasingly attractive for local companies seeking new listings and for onshore Chinese companies seeking additional listings. Indeed, in the first half of 2025, Hong Kong has been the world's largest IPO market, with $14 billion of issuance, easily outstripping Nasdaq, which was in second place with just over $9 billion. At the same time, the Stock Connect programme has also strengthened Hong Kong's position as an offshore renminbi hub, as the HKE has argued, opens new tab, and driven robust cross-border regulatory cooperation, involving regular meetings and exchange of ideas. The flip side of the onshore money avalanche could be increased volatility in Hong Kong markets, especially given that the trading style of mainland Chinese investors has historically been characterised by rapid transition from one sector or theme, to another. For example, onshore investors flocked to the internet platforms Alibaba and Tencent, and technology giant Xiaomi, throughout 2024 and early 2025, only to sell significant volumes this past May and June. It is also possible that some common preferences among onshore Chinese investors, such as the attraction to high dividend yields, could begin to affect the relative performance of stocks in Hong Kong. CNOOC, China Construction Bank and China Mobile – all characterised by low growth but high dividends – have remained Southbound favourites this year, based on monthly "Top 10" lists. What could derail this exuberance? The potential weakening of the renminbi could be one headwind, as it would make HKD-denominated stocks more expensive for mainlanders. Additionally, improved performance among mainland markets could also discourage Chinese investors from overseas diversification. In 2025 so far, Hong Kong's Hang Seng index is up 23.8%, dwarfing the Shanghai Composite's 5.5% gain. A reversal of return prospects could obviously reverse the direction of flows. Finally, U.S.-China geopolitical tensions are a perennial bugbear. Hong Kong permits money to be moved in and out of the city without many restrictions, which exposes it to risks from such political conflicts. Any adverse political outcome could make Chinese investors more inclined to keep their capital onshore. However, most of these potential headwinds are likely short-term phenomena, and ultimately, the long-term direction of travel is clear. Mainland Chinese savings represent a gigantic pool of still mostly untapped capital. Total deposits at the end of June 2025 were RMB 320 trillion ($44 trillion), according to PBOC reports, opens new tab. And total overseas portfolio investments in March 2025 were only $1.58 t, opens new tabrillion, less than 4% of households' domestic deposits. The need for greater diversification among mainland Chinese investors thus remains significant, meaning the surge of capital into Hong Kong markets may just be getting started. (The views expressed here are those of Manishi Raychaudhuri, the founder and CEO of Emmer Capital Partners Ltd. and the former head of Asia-Pacific Equity Research at BNP Paribas Securities.) Enjoying this column? Check out Reuters Open Interest (ROI),, opens new tab your essential new source for global financial commentary. ROI delivers thought-provoking, data-driven analysis of everything from swap rates to soybeans. Markets are moving faster than ever. ROI,, opens new tab can help you keep up. Follow ROI on LinkedIn,, opens new tab and X., opens new tab
Business Times
01-07-2025
- Business
- Business Times
Chinese money fires up Hong Kong shares
[SHANGHAI/HONG KONG] Chinese investors are piling into Hong Kong shares lured by lower valuations and the city's strategic position in China's growing rivalry with the United States. A record US$90 billion of cash from the mainland has driven a stellar 21 per cent rally in Hong Kong stocks in the first half of 2025, reshaping the landscape of a market foreign investors have avoided for several years. 'The Hong Kong stock market is being repriced by mainland money,' said Chen Dong, fund manager at Hangzhou Ultraviolet Private Fund. Chinese money 'is gushing in from various directions in a gold rush,' he said. In stark contrast, China's benchmark CSI 300 has barely moved. Disillusioned with the languid market, low returns and a stuttering domestic economy, domestic investors have shifted money from onshore A-shares to Hong Kong-listed equities, where stocks typically trade at a discount. Hong Kong's H-share market has gained from robust flows via the cross-border link Stock Connect, a bumper string of initial public offerings (IPOs) and global investors diversifying away from a weakening US dollar. For 40-year-old Chinese investor Zhu Haifeng, Hong Kong equities now account for 80 per cent of his portfolio. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up For a dual-listed company, 'you certainly want to pay less for the same assets', said Zhu, who bought Hong Kong-listed shares of Tsingtao Brewery and Guangzhou Baiyunshan Pharmaceutical – both trading at a sharp discount to their Shanghai-traded counterparts. Mainland investors via Stock Connect now contribute to 50 per cent of Hong Kong's daily stock turnover, up from around 30 per cent at the beginning of 2024, Societe Generale estimates. Institutional money is gushing in too, causing the gap in dual-listed stocks to compress, although China's capital controls ensure some variance remains. The average premium of China's A-shares over Hong Kong's H-shares – traditionally high due to bigger volumes and activity in China – has narrowed to a five-year low of under 30 per cent. Rally has legs The tighter spreads potentially reduce the incentives for mainland investors to buy H-shares, but analysts expect Hong Kong's bull run to continue. US President Donald Trump's erratic policies, fresh US rate cuts and bets on China's technological innovations will drive more money into the former British colony. High-dividend bank shares in Hong Kong have attracted yield-focused investors such as Ping An Insurance and China Life, as long-term treasury yields flirt with record lows. The dividend yield of an index tracking Hong Kong-listed Chinese companies stands at 3.7 per cent, higher than the 2.9 per cent ratio for Chinese benchmark CSI 300, according to LSEG data. That compares with China's 10-year bond yield of 1.65 per cent. Hong Kong has evolved into a proxy of 'national champions', Linda Lam, head of equity advisory for North Asia at UBP said, referring to Hong Kong's tech-heavy listings. In comparison, mainland A-shares have a lot more macro-sensitive sectors, weighing on investor sentiment, she said. Goldman Sachs this month published a list of 10 'prominent' Chinese companies with 'buy' recommendations, most of which are not listed on the mainland. They include Tencent Holdings, Alibaba Group and Xiaomi – companies invested in artificial intelligence and holding sway in China's tech war with the United States. Guo Changzhen, a retail investor based in China's central Henan province, started buying Hong Kong's high-dividend shares late last year. 'Chinese bond yields are low, deposit rates are low, so where else do you put money without too much risk-taking,' said Guo, who owns Chinese companies listed in Hong Kong but not at home. Wang Yi, chief investment officer of CSOP Asset Management, said he remains bullish on Hong Kong stocks. 'We have seen more global investors turning their attention back to the market,' he said. REUTERS
South China Morning Post
30-06-2025
- Business
- South China Morning Post
Mainland investors on track to beat Hong Kong stock buying record set in 2024
Investors on the mainland showed a strong appetite for Hong Kong stocks in the first half of 2025 via the southbound channel of the Stock Connect programme , putting purchases on track to reach a record that was set last year. Mainland buying of Hong Kong stocks reached HK$731.2 billion (US$93 billion) in the first half of the year, according to data from the Hong Kong bourse and Bloomberg on Monday. Last year, southbound net purchases reached HK$808 billion, a record since the programme started in 2014. The buying spree has been underpinned by a re-rating of China's technology sector and attractive valuations. Hong Kong's equity market is dominated by large mainland tech firms that are not listed onshore and as a result, stocks in the city have benefited from a re-evaluation of China's tech sector spurred by an artificial intelligence breakthrough earlier this year. In addition, Hong Kong stocks are cheaper than their mainland counterparts, trading at 11.2 times earnings – the second cheapest among the world's major equity markets. 'Mainland inflows have been accelerating because of the valuation advantage, the listing scarcity and arbitrage demand,' said Wu Xinkun, an analyst at Guotai Junan Securities in Shanghai. 'Hong Kong's market now more reflects mainland [investors'] behaviours and risk preferences.' Increased exposure to mainland capital has made Hong Kong stocks more responsive to changes in China's economic fundamentals and corporate earnings, with its links to US markets fading. The 120-day correlation between the Hang Seng Index and the S&P 500 dropped to an average of 0.09 this year from 0.2 per cent over the past decade, according to Bloomberg data. The Hang Seng Index has risen 20 per cent so far this year, second only to the 28 per cent gain for South Korea's Kospi index. Most of the Kospi's gains came in the first quarter before US President Donald Trump rolled out his so-called reciprocal tariffs.
