Li vouches for safety of investments
Hong Kong Exchanges & Clearing Ltd Chief Executive Officer Charles Li has called China the world's "safest" stock market, seeking to allay investor concerns over government intervention and surging volatility.
The nation's market structure gives government-run entities such as exchanges, custodians and clearing houses direct control over the safeguarding of investor assets, trading and settlement, Li said in a blog post on HKEx's website. That differs from most international markets - where brokerages play a more central role - and helps regulators prevent misconduct, he said.
The reassurances from Li, who oversaw the November start of Hong Kong's exchange connect with Shanghai and is seeking to open a similar link with Shenzhen by year-end, follow a series of unprecedented steps by Chinese authorities to halt a $4 trillion tumble in mainland stocks. Concern over government meddling has helped fuel foreign outflows through the exchange link for nine straight days.
