Deals
Hong Kong Link Is No Match for 44% One-Day Score in Chinese IPOs
This article is for subscribers only.
Even the world-beating rally in Hong Kong’s stock market can’t compete with Chinese investors’ favorite way to make a quick profit: initial public offerings.
While mainland traders purchased the maximum amount of Hong Kong shares allowed through the city’s exchange link with Shanghai on Wednesday and Thursday last week, inflows have since slowed and were 57 percent below the five-day average on Tuesday. A key reason for the drop-off is that investors are turning their attention to the 30 Chinese IPOs taking orders this week, according to Hengsheng Asset Management Co.