Year-ender: Major financial news of China
Shanghai-London Stock Connect launched at LSE
The long-awaited Shanghai-London Stock Connect was finally launched in London early on June 17, offering more opportunities for British and Chinese financial institutions to buy into each others' economic development.
The connect, a two-way depositary receipt mechanism that brings together two of the world's largest capital markets, brings together one of the world's largest domestic capital markets – the Shanghai Stock Exchange – with the world's leading international market, the London Stock Exchange.
The Shanghai-London Stock Connect will allow global investors to benefit from China's stable economic growth and ongoing reforms through London, while London Stock Exchange listed companies will be able to access Chinese investors directly through the stock connect.
It is the first time any foreign companies will be able to list in the Chinese mainland and the first time SSE-listed companies will be able to raise capital abroad through instruments fungible with their domestic shares.
