CFCL General information - China
Reference
CFCL eligible fund types
Register market
China-domiciled funds, in particular the Southbound funds, are eligible in Clearstream Fund Centre, provided they have been approved by the SFC to be offered in Hong Kong under the MRF scheme.
CSD link
Eligible SSE-listed ETFs and SZSE-listed ETFs for Northbound trading are eligible in Clearstream Fund Centre.
Please refer to the CBL General Information - Hong Kong - China Connect securities for more information about funds available via the CSD link.
Custody chain and depository
Type of link | Indirect via Citibank N.A. (Hong Kong Branch) to:
|
CSD | Custodian (as CBL’s depository) | CBL (as CFCL’s depository) | |
Name | Hong Kong Securities Clearing Company Ltd (HKSCC) | Citibank, N.A. Hong Kong branch | Clearstream Banking S.A. |
FATCA GIIN | HKSCC: 7ENI1T.00000.LE.344 HKMA: not available | NXUTG8.00175.ME.344 | N1V1GJ.00000.LE.442 |
LEI | HKSCC: 213800NM8ZN1F16ARD34 HKMA: not available | E57ODZWZ7FF32TWEFA76 | 549300OL514RA0SXJJ44 |
Country of incorporation | Hong Kong | USA | Luxembourg |
Account type | HKSCC: Omnibus account HKMA: Segregated account | Segregated account Segregated account per ultimate beneficial owner | Segregated |
Legal Account name/holder | HKSCC: securities are registered in the name of HKSCC Nominees Limited. HKMA: securities are in the name of CMU member (that is, Citibank, N.A. Hong Kong branch). Citibank N.A. Hong Kong branch as the participant in HKSCC and HKMA holds a segregated account(s) for CBL at either CSD. | Segregated: Segregated: Account is opened in the following format – Clearstream Banking S.A. – (CFETS Trading ID Name) | Clearstream Fund Centre S.A. |
Depository
Depository | Local custodian/Agent |
CBL | Citibank N.A. (Hong Kong branch) 50/F, Champion Tower |
Operational arrangements
This section describes the operational arrangements of the Chinese market for ETFs via Stock Connect:
Key services | Yes/No | Remarks |
Settlement free of payment | Yes | Please refer to specific settlement rules / settlement restrictions under Settlement services. |
Settlement against payment | Yes | Eligible settlement currency: Chinese Renminbi (RMB). |
Settlement against payment in central bank money account of CFCL/CFCL client | No | Against payment settlement in RMB takes place in the HKMA payment system on the cash account of Citibank Hong Kong acting as the clearing party. |
Settlement with Euroclear | No | |
Shaping facility | No | |
Partial settlement | No | Not market practice but is permissible with special arrangements. |
Settlement penalty fees | Yes | Please refer to Settlement Process. |
Pre-matching | Yes | Only on Settlement Date. Occurs upon receipt of clients’ instructions and is subject to counterparty availability. |
Back-to-back processing | No | |
Allegements | Yes | |
Automatic compensation | No | |
Registered securities | Yes | |
Multi Market Securities | No | |
Lending and borrowing | No | |
Proxy voting | Yes | |
Liquidity Hub Connect | No | |
Sale and purchase of rights | No | |
Repo services | No | |
Market restrictions | Yes | Please refer to Investment regulation section. |
FTT | Yes | Stamp duty incurred. |
Daily reconciliation | Yes | |
Moment of entry of instructions | The CSD rules do not define the moment of entry within the meaning of the Settlement Finality Directive. | |
Irrevocability of instructions | Settled transactions are irrevocable. | |
Finality of instructions | Settlement in the Hong Kong market is final upon settlement in the books of HKSCC. | |
Legal arrangements
The below section is valid on the date of the legal opinions that were issued and might be subject to change.
The information is provided for guidance only and should not be considered in isolation or as constituting a complete or definitive legal advice on any specific matter.
As CBL is our sub-custodian, please refer to the CBL General information - Hong Kong China Connect for the complete information about Legal arrangements.
Cash correspondent details
Currency: | Hong Kong Dollar HKD |
CCB name: | Standard Chartered Bank Hong Kong |
CBL account: | 44709447240 |
SWIFT address: | SCBLHKHHXXX |