HK debuts price volatility control
By Oswald Chan in Hong Kong | China Daily | Updated: 2016-08-23 07:33
New mechanism triggered if stock down or up 10% from last traded price five minutes ago
Bourse operator Hong Kong Exchanges and Clearing Ltd (HKEx) on Monday rolled out a stock price volatility control system similar to Singapore and Japan to prevent extreme price swing arising from major trading errors and other unusual incidents.
The volatility control mechanism currently only applies to 81 constituent securities of the Hang Seng Index and Hang Seng China Enterprise Index.
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