According to an authoritative source, in addition to Tianjin, Shanghai and Shenzhen have been added to the list of cities that are currently allowed to carry out experimental operations – the so-called "nonstop train to Hong Kong stock market". These are a series of services that allow Chinese mainland residents to invest directly in the Hong Kong stock market. To date three banks have been permitted to provide such services. But when and how to launch these services nationwide has not yet been decided.
Some insiders have said that the authority's hesitation in expanding this experiment is due to the fact that ordinary Chinese do not have a mature understanding of investments and risks or sufficient knowledge of the Hong Kong stock market.
Another insider revealed that, considering the investment and risk control capacities of professional investment service organizations, the Chinese authorities hope individuals will choose to indirectly invest in Hong Kong shares through qualified domestic institutional investors (QDII). The investment bar for banking QDII is likely to decrease to 100,000 yuan in the very near future.
For more details, please read the full story in Chinese. (http://www.jjxww.com/show.aspx?id=29708&cid=25)
(China.org.cn September 7, 2007)