Search
H Shares
Define H Shares:

"H shares refer to a class of shares that are listed on the Hong Kong Stock Exchange and are available for international investors to trade." 


 

Explain H Shares:

What is H Shares?

These shares are issued by Chinese companies incorporated in mainland China and are denominated in Hong Kong dollars. The "H" in H shares stands for "Hong Kong."

H shares were introduced in 1993 as a means to attract foreign investment into Chinese companies. They allow international investors to participate in the growth and performance of Chinese companies and provide a channel for these companies to raise capital from global markets.

H shares are subject to the regulations and disclosure requirements of the Hong Kong Stock Exchange, and they trade alongside other share classes such as A shares (shares listed on mainland China exchanges) and red chips (shares of mainland China companies incorporated outside mainland China).

Investors who wish to trade H shares typically need to go through the necessary procedures and comply with the requirements set by their respective brokers or financial institutions.


Example of H Shares:

Here are a few examples of companies that have issued H shares and are listed on the Hong Kong Stock Exchange:

  1. Tencent Holdings Ltd. (0700.HK): Tencent is one of the largest technology conglomerates in China and is known for its social media platform WeChat, online gaming, and various other internet services.

  2. China Mobile Limited (0941.HK): China Mobile is the largest telecommunications company in China, providing mobile communications and related services.

  3. PetroChina Company Limited (0857.HK): PetroChina is an oil and gas company involved in exploration, production, refining, and marketing of petroleum and petrochemical products.

  4. China Construction Bank Corporation (0939.HK): China Construction Bank is one of the largest state-owned commercial banks in China, providing a range of banking and financial services.

  5. Industrial and Commercial Bank of China Limited (1398.HK): ICBC is another major state-owned bank in China, offering a wide array of banking and financial products and services.

These are just a few examples, and there are many more companies that have issued H shares and are traded on the Hong Kong Stock Exchange.