Market Link Guide - China - B-Shares
Reference
Key features
| Yes/No | Remarks | |
| Settlement free of payment | Yes | For China B-shares:
CSDCC requirement for NCBO. For China A shares:
|
| Settlement against payment | Yes | For China B-shares:
|
| Bridge settlement | No | |
| Shaping facility | No | |
| Partial settlement | No | |
| Settlement penalty fees | Yes | Short selling and long purchases (that is, purchases without sufficient funds) are prohibited on the Shanghai and Shenzhen Stock Exchanges. |
| Pre-matching | Yes | |
| Back-to-back processing | No | |
| Allegements | No | |
| Automatic compensation | No | |
| Registered securities | Yes | Registration takes place automatically upon settlement. |
| Multi Market Securities | No | Refer to the Multi-securities Guide. |
| Lending and borrowing | No | |
| Proxy voting | Yes | |
| Investment Funds | No | |
| Liquidity Hub Connect | No | |
| Sale and purchase of rights | No | |
| Repo services | No | |
| Market restrictions | No | Investments are subject to the investor’s application for an investor code at CSDCC Shanghai and/or Shenzhen. All B shares to be deposited in CBL must be registered in the names of both “Clearstream” and the underlying customers. |
| FTT | No | |
| FATCA GIIN | No | |
| Miscellaneous | Yes | The opening of individual investor accounts by CBL is not permitted. |
| LEI | Yes | HSBC China: 2CZOJRADNJXBLT55G526 |
| Type of link | CSD or settlement method |
| Out of network link via HSBC China | China Securities Depository and Clearing Corporation (CSDCC) |
Local legislation
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. The scope of the legal opinions is limited to the local legislation applicable to the relevant CSD (and intermediary, if any). For links using an intermediary located in another jurisdiction, please find a separate Local legislation section for the jurisdiction of the intermediary below. For clients accessing local markets via other Clearstream entities, please also review the Local legislation section in the relevant Market Link Guide for such Clearstream entity.
Local legislation of the CSD | |
| Date of legal opinion | 29 June 2026 |
| Nature of rights on securities | Substantive law of the jurisdiction will govern the nature of the rights on the Securities. |
| Recognition of nominee concept | Nominee concept recognised under local law |
| No right of retention to the CSD under local law | CSD does not have a lien or similar encumbrances on the Securities under local law |
| No upper tier attachments | Securities would not be subject to Attachment |
| No right of use without prior consent | Laws of the jurisdiction restrict CSD from using Securities without Clearstream's prior consent |
| Segregation of assets at the CSD | CSD is under legal/regulatory obligation to segregate the Securities held for each participant |
| Loss of assets | No general restrictions on ability to recover lost assets or on indemnification under local law |
| Ability to recover client assets in the event of insolvency of CSD | Securities would be recoverable |
| Ability to recover client assets in the event of insolvency of Agent | n/a |
| Shortfall pro rated among holders | Shortfall in the Securities would be allocated among the holders of the applicable Securities pro rata to their respective ownership percentages |
| Settlement finality in case of insolvency | Transfer orders are irrevocable and finality of settlement is assured |
