The TRADE 63 - Q1 2020 | Page 68

[ I N - D E P T H | S T O C K C O N N E C T S ] By far, the best known is the Shanghai-Hong Kong Stock Connect and the related Shenzhen-Hong Kong Stock Connect. Founded at the end of 2014 - with the Shenzhen component switched on two years later - it has become an institution in its own right despite troubles in the participating markets, with weakness in A shares since 2015 and turmoil in Hong Kong in 2019. “I think the Hong Kong Connect has been extremely successful,” says Jean-Paul Linschoten, head of client China strategy for equities at HSBC. Total turnover on the Northbound Hong-Kong- to China leg broke RMB 9 trillion last year, a new 68 // TheTRADE // Spring 2020 “As foreign investors become a more significant part of the market, they will need to develop similar oversight and monitoring tools as other countries.” JEAN-PAUL LINSCHOTEN, HEAD OF CHINA CLIENT STRATEGY FOR EQUITIES, HSBC