H share
Encyclopedia
H sharesIn mainland China
, the shares are referred to as H股 H shares, whilst in Hong Kong
, they are called 恒生中國企業指數, literally Hang Seng China Enterprises Index. refers to the shares of companies incorporated in mainland China
that are traded on the Hong Kong Stock Exchange
. Many companies float their shares simultaneously on the Hong Kong market and one of the two mainland Chinese stock exchange
s.
Huge price discrepancies between the H shares and the A share
counterparts of the same company are not uncommon . A share generally trades at a premium to H shares as the People's Republic of China
government restricts mainland Chinese people from investing abroad, and foreigners from investing in the A-share markets in mainland China.
Mainland China
Mainland China, the Chinese mainland or simply the mainland, is a geopolitical term that refers to the area under the jurisdiction of the People's Republic of China . According to the Taipei-based Mainland Affairs Council, the term excludes the PRC Special Administrative Regions of Hong Kong and...
, the shares are referred to as H股 H shares, whilst in Hong Kong
Hong Kong
Hong Kong is one of two Special Administrative Regions of the People's Republic of China , the other being Macau. A city-state situated on China's south coast and enclosed by the Pearl River Delta and South China Sea, it is renowned for its expansive skyline and deep natural harbour...
, they are called 恒生中國企業指數, literally Hang Seng China Enterprises Index. refers to the shares of companies incorporated in mainland China
Mainland China
Mainland China, the Chinese mainland or simply the mainland, is a geopolitical term that refers to the area under the jurisdiction of the People's Republic of China . According to the Taipei-based Mainland Affairs Council, the term excludes the PRC Special Administrative Regions of Hong Kong and...
that are traded on the Hong Kong Stock Exchange
Hong Kong Stock Exchange
The Hong Kong Stock Exchange is a stock exchange located in Hong Kong. It is Asia's third largest stock exchange in terms of market capitalization behind the Tokyo Stock Exchange and the Shanghai Stock Exchange and fifth largest in the world...
. Many companies float their shares simultaneously on the Hong Kong market and one of the two mainland Chinese stock exchange
Stock exchange
A stock exchange is an entity that provides services for stock brokers and traders to trade stocks, bonds, and other securities. Stock exchanges also provide facilities for issue and redemption of securities and other financial instruments, and capital events including the payment of income and...
s.
Huge price discrepancies between the H shares and the A share
A share (mainland China)
A shares are specialized shares of the [Renmembi]]currency that are purchased and traded on the Shanghai and Shenzhen stock exchanges.This is contrast to Renmembi B shares which are owned by foreigners who cannot purchase A-shares due to Chinese government restrictions.-See also:* A share * B...
counterparts of the same company are not uncommon . A share generally trades at a premium to H shares as the People's Republic of China
People's Republic of China
China , officially the People's Republic of China , is the most populous country in the world, with over 1.3 billion citizens. Located in East Asia, the country covers approximately 9.6 million square kilometres...
government restricts mainland Chinese people from investing abroad, and foreigners from investing in the A-share markets in mainland China.
See also
- A shareA share (mainland China)A shares are specialized shares of the [Renmembi]]currency that are purchased and traded on the Shanghai and Shenzhen stock exchanges.This is contrast to Renmembi B shares which are owned by foreigners who cannot purchase A-shares due to Chinese government restrictions.-See also:* A share * B...
- B shareB share (mainland China)B shares on the Shanghai and Shenzhen stock exchanges refers to those that are traded in foreign currencies...
- H share
- Red chipRed chipRed chips stocks are the stocks of mainland China companies incorporated outside mainland China and listed in Hong Kong. The actual business is based in mainland China and controlled, either directly or indirectly, by the central, provincial or municipal governments of the Peoples' Republic of China...
- P chipP chipThe term P chip refers to Chinese companies listed on the Hong Kong Stock Exchange which are incorporated in the Cayman Islands, Bermuda and the British Virgin Islands with operations in mainland China, and are run by private sector Chinese businessmen...
- S chipS chipS chips , also known as S-Shares, is a term that refers to Chinese companies listed on the Singapore Exchange. S-Chips are incorporated in Singapore, the British Virgin Islands, the Cayman Islands and Bermuda and have their business operations in mainland China...
- N shareN shareN-Shares refers to Chinese companies listed on the NYSE, NASDAQ, or the American Stock Exchange. The term stands for New York. They may or may not be incorporated in China, but they have their main business operations in mainland China. Most of them are incorporated in Bermuda, the Cayman Islands,...
- L shareL shareL-Shares refers to Chinese companies listed on the London Stock Exchange. The listed companies are incorporated in the Cayman Islands, Bermuda, British Virgin Islands and Jersey, but they have their main business operations in mainland China....
- G shareG shareG shares refers to shares traded in the stock exchanges of mainland China that belong to companies that have accomplished stock right division reforms, and have regained business on the market...
- China Concepts StockChina Concepts StockChina Concepts Stock is a set of stock of companies whose assets or earnings have significant activities in Mainland China. The People's Republic of China is undergoing major financial transformation, many leading mainland-based companies choose to list themselves overseas to gain access to...