Shanghai-Hong Kong Stock Connect Exchange Participant Information Package on

Shanghai-Hong Kong Stock Connect
Exchange Participant Information Package on
Pre-launch System Readiness Test
28 October 2014
Amendment Log
Date
28 October 2014
Amendment
1. Updated Appendix A – revised download time on Stock Code
Mapping File
© Copyright 2014 HKEx
Page 2 of 13
Table of Contents
1.
INTRODUCTION ..................................................................................................................................... 4
2.
OBJECTIVE AND SCOPE .......................................................................................................................... 4
3.
GUIDELINES FOR PRE-LAUNCH SYSTEM READINESS TEST....................................................................... 5
4.
TYPHOON AND /OR RAINSTORM ARRANGEMENTS ............................................................................... 6
5.
ENQUIRES .............................................................................................................................................. 6
APPENDICES.................................................................................................................................................... 7
© Copyright 2014 HKEx
Page 3 of 13
1.
Introduction
Shanghai-Hong Kong Stock Connect is a mutual market access programme, through
which investors in Hong Kong and Mainland China can trade and settle shares listed
on the other market respectively via the exchange and clearing house in their local
market.
A series of connectivity test and market rehearsals (MRs) for Shanghai-Hong Kong
Stock Connect were successfully completed in September 2014. To ensure that the
deployment of the systems of the Exchange and the Exchange Participants (EPs) to
the production environment is satisfactory, a Pre-launch System Readiness Test
(PSRT) will be conducted during the weekend immediately before the date of launch
of the Shanghai-Hong Kong Stock Connect.
This document will provide details on the trading activities of the PSRT on the China
Stock Connect System (CSC). Relevant details on clearing and settlement activities
will be provided in Shanghai-Hong Kong Stock Connect Pre-launch System Readiness
Test CCASS Participant Information Package (“CCASS Participant Information
Package”).
2.
Objective and Scope
PSRT is to ensure a smooth launch of CSC and final verification of system readiness
by EPs.
Test
Date
PSRT
Saturday
Time (Trading)
09:10 – 12:00
Objectives
1. HKEx to perform final readiness checks on
CSC
2. EPs to perform final readiness checks on
the setup from their side for connecting to
China Stock Connect Open Gateway (CC
OG) and CSC
in the production
environment via SDNet/2 and/or HSN
circuits, to perform normal trading
activities via their CC OG and Broker
Supplied System (BSS) before the rollout
3. EPs who are also CCASS participants to
perform their final verification on clearing
and settlement arrangement, to perform
normal clearing and settlement functions.
For details,
please refer to CCASS
Participant Information Package
Hong Kong securities market will be opened from 9:00 – 12:00. EPs participating the
PSRT of Northbound Trading (NB), all their production off-floor trading devices
connected to AMS/3.8 will be turned on to facilitate EPs to conduct trading activities
on the Hong Kong market.
© Copyright 2014 HKEx
Page 4 of 13
EPs who are Non-Clearing Participant of CCASS should ensure their appointed
General Clearing Participant would also participate in the Clearing Pre-launch System
Readiness Test.
Further details on PSRT are provided in the respective sections below.
3.
Guidelines for Pre-launch System Readiness Test
All EPs are requested to make note of the following important points when they take
part in PSRT:
Before PSRT




EPs should have completed the CC OG mandatory market rehearsals to verify
the readiness of their BSS software for participation in PSRT.
EPs are required to designate a co-ordinator for the PSRT in Appendix B and
return to HKEx before the PSRT.
The Activity Rundown for the PSRT is in Appendix A. All participating EPs are
required to follow strictly the activity rundown of PSRT.
Order Routing System (ORS) services for Hong Kong stock market will not be
enabled during PSRT.
Securities and Shareholdings

Security Database for the PSRT:
CSC
: Eligible stocks for NB is available on HKEx website at ShanghaiHong
Kong
Stock
Connect
corner
(http://www.hkex.com.hk/chinaconnect)
AMS/3.8
: Security database as at market open on the following trading
day of PSRT

On PSRT, EPs will not be allocated with shareholdings in NB stocks to simulate
first day launch of Shanghai-Hong Kong Stock Connect.
During / After PSRT




EPs must ensure that the correct version of BSS software be activated before
connecting to CSC and AMS/3.8 (if applicable).
EPs must perform trading activities via all of their applied CC OG(s).
Trade and other files applicable for NB will be available for download from the
nominated folder, through the Electronic Communication Platform (“ECP”),
before, during and after the PSRT.
There is no feedback form for the PSRT. If participating EPs encounter any
problem, please report to HKEx Hotline at 2840-3351 for technical enquiry or at
2840-3626 for general enquiry immediately.
© Copyright 2014 HKEx
Page 5 of 13
4.
Typhoon and /or Rainstorm Arrangements
EPs are requested to note the following arrangement should typhoon or rainstorm is
encountered on the day of PSRT.
On PSRT
a.
In case Typhoon Signal No. 8 or above and / or Black Rainstorm Warning is
issued or continues to be issued anytime from 7:00am to 9:15am, the activity of
the day will be cancelled and will not be resumed for the rest of the day.
b. In case Typhoon Signal No. 8 or above is issued after 9:15am, the activity of the
day will be terminated 15 minutes thereafter.
c. In case Black Rainstorm Warning is issued after 9:15am, the activity of the day
will continue until completion.
In any case, all participating EPs should complete the appropriate day-end works
including file/database backup and restoration, system restoration/fallback and so
on to ensure there will be no interruption on the next trading day.
5.
Enquiries
For queries and/or further clarification on the Shanghai-Hong Kong Stock Connect
PSRT, please contact us by e-mail to [email protected] .
Alternately, you may contact HKEx by phone at the following numbers:
 For general enquiry
:
2840-3626
 For technical enquiry :
2840-3351
© Copyright 2014 HKEx
Page 6 of 13
Appendices
Appendix A Activity Rundown for Pre-launch System Readiness Test
Appendix B Nomination for Co-ordinator of Shanghai-Hong Kong Stock Connect
– Pre-launch System Readiness Test
© Copyright 2014 HKEx
Page 7 of 13
Appendix A
Activity Rundown
for Pre-launch System Readiness Test
Overall Trading Timetables
On PSRT
Date & Time
CSC accept Northbound order
09:00 – 09:30
Pre-Opening Session
09:10Note2 – 09:25
Opening Call Auction
09:25 Note2 – 11:01
Morning Continuous Auction
09:30 – 11:00
11:14 Note2 – 12:01
Morning Continuous Trading Session
Afternoon Continuous Auction
11:15 – 12:00
12:05
AMS/3.8 (Hong Kong stock market)Note 1
Afternoon Continuous Trading Session
Day Close
Day Close
Notes
1. EPs participating the PSRT of NB, all their production off-floor trading devices connected to
AMS/3.8 will be turned on to facilitate EPs to conduct trading activities on the Hong Kong market.
2. CSC will start to accept China Connect orders few minute(s) before the commencement of
trading session(s) of SSE. However, the CSC and SSE will only process China Connect orders input
when the Opening Call Auction Session commences at 9:15 or Morning Continuous Auction
Session commences at 9:30 or when the Afternoon Continuous Auction Session commences at
11:15 according to SSE timetable.
If applicable, please refer to CCASS Participant Information Package for clearing and settlement
related activities and relevant timetable.
© Copyright 2014 HKEx
Page 8 of 13
Activity Rundown
PSRT
Time
Activities
CSC (Northbound trading)
Friday (Day before PSRT)
After 17:00
AMS/3.8 (Hong Kong stock market)






Saturday (PSRT)
Before 09:00
Logon to CSC
For CCOG BSS:
 Perform trading system logon by
using production CSC trader ID
and production password
Download Stock Code Mapping File &
Morning SI Stock Position result message
Download the following files by using
production user ID with “TO” user group
(i.e. user ID of MXXXXXTOXXX) and
production password through Electronic
Communication Platform (ECP)
 Stock Code Mapping File (from
8:20)
 Morning SI Stock Position result
message (from 8:55) (the message
will contain only one sentence
indicate whether sellable SSE
© Copyright 2014 HKEx
Ensure all off-floor AMS/3 terminals
and OG/OCG/MWS/BSS components
(including network routers, OG
servers,
MWS
servers
and
workstations) are powered-on after
trading hours
Ensure the production database of inhouse / back-office systems are
properly backed-up
For those BSS which are not going to
participate in the test, ensure that
each of these BSS is not connected to
the OG/OCG, to avoid receiving the
testing data
For all existing production MWS and
BSS, please do not input any next day
requests after trading hours on Friday
(i.e., requests intended for submission
to AMS/3.8 on the following trading
day, since next day requests will be
submitted to AMS/3.8 during the post
release test and will not be available
on the following trading day)
For BSS, please save/cancel all ORS
next day requests, if applicable
For MWS, please cancel all ORS next
day requests, if applicable
Logon to AMS/3.8 Host
For OCG BSS sessions:
 Connect to OCG (Trading and Drop
Copy OCG sessions) and logon using
the assigned Comp ID and
production password.
For OG (BSS/MWS) or Off-floor AMS
Terminals:
 Perform smart card logon for OG (if
applicable) – enter the production
PIN of the smart card
 For MWS: Perform Administrator
logon (administrator User ID 9999,
Password 9999); Perform MWS
start-of-trading
procedures;
Perform
Supervisor
logon
(supervisor User ID 001, Password 1
or User ID 002, Password 2)
Page 9 of 13
Time
Activities
CSC (Northbound trading)
Securities positions have been
successfully updated in CSC or not.
There is No detail shareholding
position of the EP) Closing price file
AMS/3.8 (Hong Kong stock market)
 Perform trading system logon by
using production trader ID and
production password
Note:
For MWS, should EPs wish to create
additional user accounts (e.g. Trader
and Supervisor), please follow the
procedures set out in the MWS User’s
Guide
at
HKEx
website
http://www.hkex.com.hk/infra/ams3/
MWS.htm. The MWS user accounts
created during the post release test will
not be carried over to the production
environment
Call Auction / Pre-opening Session
09:00 -

The call auction session of SSE will 
run from 09:15 – 09:25
 Simulate real-life trading activities (in
terms of order input, pattern and
volume)
(N.B.:
- Orders to be input should be at
prices within +/- 10% from previous
closing price
- Buy orders below the current best 
bid price / the previous closing price
(as the case may be) by more than
3%, will be rejected by CSC
- Cancel outstanding orders as far as
possible)
The pre-opening session consists of
- Order Input period
(09:00 – 09:15)
- Pre-order Matching period
(09:15 – 09:20)
- Order Matching period
(09:20 – 09:28)
- Blocking period
(09:28 – 09:30)
Simulate real-life trading activities (in
terms of transaction types, pattern and
volume) during the pre-opening
session
(N.B.: Orders to be input should be at
prices within +/- 20 spreads from
nominal price)
Note:
CSC will start to accept China Connect
orders from 9:10. However, these orders
will only be processed according to the
timetable of SSE
Morning Session (Continuous Auction / Continuous Trading)
09:30 -

The continuous auction session of SSE  The continuous trading session
will run from 09:30 – 11:00
consists of
- Continuous trading
 Simulate real-life trading activities (in
terms of order input, pattern and
(09:30 – 12:00)
volume)
 Simulate real-life trading activities (in
(N.B.:
terms of transaction types, pattern and
- Orders to be input should be at
volume) during the morning session
prices within +/- 10% from previous
(N.B.: Orders to be input should be at
closing price
prices within +/- 20 spreads from
- Buy orders below the current best
nominal price)
bid price / the latest trade price /
© Copyright 2014 HKEx
Page 10 of 13
Time
Activities
CSC (Northbound trading)
AMS/3.8 (Hong Kong stock market)
the previous closing price (as the
case may be) by more than 3%, will
be rejected by CSC
- Cancel outstanding orders as far as
possible)
Note:
CSC will accept China Connect orders from
9:25 to 11:01. However, these orders will
only be processed according to the
timetable of SSE
Exchange
Intervention
11:01
11:00
Close
11:05
11:05
Download Mid-Day Trade File
11:30 – 23:59
Download the Morning trade file (from
11:30) by using production user ID with
“TO” user group (i.e. user ID of
MXXXXXTOXXX) and production password
through Electronic Communication
Platform (ECP) and check the accuracy of
trade details
Afternoon Session (Continuous Auction / Continuous Trading)
11:10-

The continuous auction session of SSE  The continuous trading session
will run from 11:15 – 12:00
consists of
- Order Cancel (11:10 – 11:15)
 Simulate real-life trading activities (in
terms of order input, pattern and
- Continuous Trading
volume)
(11:15 – 12:00)
(N.B.:
 Simulate real-life trading activities (in
- Orders to be input should be at
terms of transaction types, pattern and
prices within +/- 10% from previous
volume) during the morning session.
closing price
(N.B.: Orders to be input should be at
- Buy orders below the current best
prices within +/- 20 spreads from
bid price / the latest trade price /
nominal price)
the previous closing price (as the
case may be) by more than 3%, will
be rejected by CSC
- Cancel outstanding orders as far as
possible)
Note:
CSC will accept China Connect orders from
11:14 – 12:01. However, these orders will
only be processed according to the
timetable of SSE
Exchange
Intervention
12:01
12:00
Day Close
12:05
12:05
© Copyright 2014 HKEx
Page 11 of 13
Time
After respective
Day Close
Activities
CSC (Northbound trading)
AMS/3.8 (Hong Kong stock market)
For CCOG BSS:
 Perform any day-end processes to
ensure database integrity
 Clean up the transaction data (e.g.
orders and trades) entered during
this test from BSS (if applicable)
 Perform trader permanent sign off
Logoff from AMS/3.8 Host and perform endof-day procedures
For Off-floor AMS Terminals :
 Perform trader permanent sign off
For OCG / OG / BSS / MWS:
 Logout and terminate OCG session
 Perform trader permanent sign off,
if applicable
 Perform any day-end processes to
ensure database integrity
 Clean up the transaction data (e.g.
orders and trades) entered during
this test from BSS (if applicable)
 MWS: Perform supervisor trading
system logoff
Keep all off-floor terminals, MWS and BSS
components powered-on
Download Day-end Trade File and Closing Price File
12:40 – 23:59
Download the following files by using
production user ID with “TO” user group
(i.e. user ID of MXXXXXTOXXX) and
production password through Electronic
Communication Platform (ECP)
 Day end trade file (from 12:40) and
check the accuracy of trade details
 Closing price file (from 13:30)
Monday (the following trading day of PSRT)
Before 8:30
Logon to CSC
For CCOG BSS:
 Perform trading system logon by
using production CSC trader ID
and production password
 Prepare for trading under CSC
production environment from
9:15
Note:
CSC will start to accept China Connect
orders from 9:10. However, these orders
will only be processed according to the
timetable of SSE
Logon to AMS/3.8 Host
For OCG / OG / BSS / MWS / Off-floor AMS
Terminals:
 Ensure smart card log on for OG and
terminal is done and perform BSS
trading system log on to host and
trader sign on if applicable
 Prepare for trading under AMS/3.8
production environment from 9:00
Note: EPs who do not follow the testing guidelines or conduct frivolous activities during the PSRT will be
suspended from further participation in the PSRT without prior notice.
© Copyright 2014 HKEx
Page 12 of 13
Appendix B
Submission deadline: before PSRT
Nomination For Co-ordinator of Shanghai-Hong Kong Stock Connect –
Pre-launch System Readiness Test
Notes:
1. EPs are required to complete and return this Nomination form to HKEx by Fax at 2521 7899 or by email
to [email protected] before PSRT.
2.
HKEx will contact or send email to the co-ordinator provided below during the PSRT if necessary.
3.
For enquiry, please contact our Participant General Enquiry Hotline 2840-3626.
Section I
Exchange Participant Information
Participant Name
Section II
Firm ID
Contact Details of Co-ordinator
Contact Person for Trading
Name
Office Telephone
Email Address
Mobile (Compulsory field)
Contact Person for Clearing (if EP is also HKSCC Participant)
Name
Office Telephone
Email Address
Mobile (Compulsory field)
Signature of Responsible
Officer with Company Chop
:
Name of Responsible Officer
:
© Copyright 2014 HKEx
Date :
Page 13 of 13