Experts interpret Ali's double major listing Pan and Lin: Increase new investors and enhance the status of Hong Kong International Financial Center

Cover Journalist Ouyang Hongyu

On July 26, Alibaba Group issued an announcement saying that the board of directors has authorized the group to submit an application to the Hong Kong Stock Exchange and will add Hong Kong to the double major listing place. After the Hong Kong Stock Exchange completed the audit process, Ali will be listed on the main board of the Hong Kong Stock Exchange and the New York Stock Exchange. It is expected to take effect by the end of 2022. After that, Ali's depository stocks listed in the United States and ordinary shares listed in Hong Kong can continue to be converted. Investors can continue to choose to hold Ali shares in one form.

The co -director, researcher Pan and Lin of the Digital Economy and Financial Innovation Research Center of Zhejiang University's International Commerce School interpreted this. Previously, because there were some delisting risks of U.S. stocks, most companies chose to be listed for the second time. In case U.S. stock delisted, US stock investors can realize stock circulation in Hong Kong stocks; now the risk of delisting is reduced. Chinese stocks such as Ali seek to transform the second listing into dual listing, so that Ali Hong Kong stocks have independent pricing power. Affected by U.S. stock fluctuations.

The so -called "double listing" and "secondary listing" are that although they are listed in the two places, the double listing is independent of the two places. Stocks in the two markets cannot be circulated with each other. In the way, the issued stocks can be realized between the two places.

"Double listing has brought more investors and liquidity for Hong Kong stocks, which is conducive to maintaining the dominance of stock pricing and preventing cross -market arbitrage. Attach importance to objectively enhance the global market position of Hong Kong stocks, and also played a leading role in other Chinese stocks, thereby helping strengthen the liquidity of Hong Kong stocks and increase the weight of Hong Kong stocks in the global capital market. " The double listing of the Hong Kong stock market does not consume the liquidity of stocks, but increases new investors and can further enhance the status of Hong Kong's international financial center.

Public information shows that 9 Chinese stocks such as Zhihu and Weilai have realized the dual listing of U.S. stocks and Hong Kong stocks. "With the transfer of major investors in China to Hong Kong stocks, the pricing capacity of Hong Kong stocks has also been further enhanced." Pan and Lin concluded that with the double listing of China Stocks to Hong Kong, Hong Kong has further consolidated and enhanced the status of international financial centers. It has improved the attraction of Hong Kong stocks to multinational capital, which mainly benefits from the huge mainland market. "China Stocks are the most growing stocks in the global capital market in the past 20 years. They are linked to China's economic dividend and are sought after by global investors. Because of this, these Chinese stocks are not listed in Hong Kong. Instead, it provides an increase for Hong Kong stocks. "

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