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The Hong Kong Securities Clearing Company (HKSCC) has announced an adjustment to its stock settlement fee structure, which will take effect from June 30, 2025.
These changes, approved by the Securities and Futures Commission (SFC), aim to enhance market efficiency and ensure a consistent fee application across all trade sizes. Key details of the adjustment include:
* Removal of Minimum and Maximum Fees: The current minimum fee of HK2 and maximum fee cap of HK100 will be eliminated.
* Revised Ad Valorem Rate: The general stock settlement fee for Exchange Trades will increase from 0.002% to 0.0042% of the gross value of the trade. This means fees will now be uniformly charged based on the transaction amount.
* Special Rate for ETP Market Makers: For eligible market making trades in Exchange Traded Products (ETPs), the stock settlement fee will be set at a rate of 0.002%, also without minimum or maximum fees.
HKSCC states that this new fee structure is designed to be cost-neutral to the market as a whole and will benefit approximately 77% of all securities trades based on historical data. The adjustments are also being implemented ahead of Phase 1 of the minimum spreads reduction, which is expected to encourage trades in smaller sizes, further benefiting from the new fee structure.
The stock settlement fees will continue to be collected through the Central Clearing and Settlement System (CCASS).

Video courtesy of Interactive Brokershome

Video courtesy of Interactive Brokers