HONG KONG: Wall Street institutions in Hong Kong said they are reducing exposure to Chinese companies named in a US ban on investments in companies Washington considers linked to China’s military before the rules comes into force later on Monday.
The statement said that according to information published by US Office of Foreign Assets Control , the fund was no longer appropriate for US individuals or companies to invest in. Bourse operator Hong Kong Exchanges and Clearing said it was “working closely with the relevant issuers to ensure orderly delisting, and facilitate buyback arrangements being arranged by the issuers”.Alex Wong, director at Ample Finance Group in Hong Kong said the delistings would “not have too much impact”, as customers could switch to Europe or China based issuers.
Hang Seng Indexes Co Ltd, Hong Kong’s main index provider, did not immediately respond to a request for comment.