Mini-Hang Seng Index Futures - Introduction

To meet the needs of retail investors with an interest in the Hong Kong stock market, the Hong Kong Futures Exchange (HKFE) has introduced a Mini-Hang Seng Index (Mini-HSI) futures contract since 2000. 

 

 

Advantages of trading Mini-Hang Seng Index Futures:

 

Tailor-made for retail investors 
The Mini-HSI futures & option contracts inherit the advantages of the larger sized HSI futures & option contracts but are tailored for individuals with limited risk capital. The smaller contract size allows experienced and novice investors alike to participate in the performance of the constituent stocks in the index in a graduated scale.

 

Low Costs
As the Mini-HSI futures & option contracts is one-fifth the size of the HSI futures & option contracts, the corresponding margin requirements and commission are much lower.

 

Margin Offset
One hundred per cent margin offset between Mini-HSI and HSI futures, and between Mini-HSI and HSI options allows for flexible investment management

 

Electronic Trading Platform
Like all other products traded on the Exchange, Mini-HSI futures & option contracts will be traded electronically on HKATS, where all orders are matched based on price and time priority. Bid, offer and transaction prices are disseminated in real-time to the public and providing the highest level of price and market transparency.

 

Clearing House Guarantee
Mini-HSI futures & option are registered, cleared and guaranteed by the HKFE Clearing Corporation (HKCC), a wholly-owned subsidiary of the HKFE. The HKCC acts as the counter-party to all open contracts, which effectively eliminates counter-party risks between its HKCC Participants. The HKCC guarantee does not cover an HKCC Participant's obligations to its clients. Investors should exercise due care and diligence when deciding through whom they will conduct business.