H share

Because of legal restrictions, the stock market of China is divided into different segments, which lead to different types of shares. A company may issue both A - and B- shares. However, since no arbitrage between the stock types are allowed, the value of the shares may differ in some cases significantly.

A-share ( A-share )

A designated A -share stock of the Shanghai Stock Exchange or the Shenzhen Stock Exchange refers to the stock of a company which is traded in Renminbi, the currency of the People 's Republic of China. Originally, these shares could be traded only by Chinese citizens. Since 2002, these are also called Qualified Foreign Institutional Investor ( QFII ) to buy. All A- shares on the Shanghai stock exchange are listed in the SSE A Share Index, which was launched on 21 February 1992.

B- share ( B -share )

A designated B -share stock of the Shanghai Stock Exchange or the Shenzhen Stock Exchange refers to the stock of a company which is traded in foreign currency. The nominal value of B shares is fixed in Renminbi. In Shanghai B- shares are traded in U.S. dollars and in Shenzhen in Hong Kong dollars. B shares are available only to foreign investors, in contrast to the A -shares, and since 2001 for Chinese nationals that open accounts for foreigners (especially overseas Chinese ). All B - shares on the Shanghai stock exchange are listed in the SSE B Share Index, which was launched on 17 August 1992.

H- share ( H -share )

When H-shares stocks of companies of mainland China are referred to, which are traded on the Hong Kong Stock Exchange. A listing as a H -Share can be done so as to be tradable for foreign investors in addition to or instead of a B -share listings. The accounting is based on the international standard.

The first Chinese company which was listed on the Hong Kong Stock Exchange in 1993 was the Tsingtao Brewery.

The largest IPO in history was carried out by the Industrial and Commercial Bank of China in October 2006. Were 14.95 billion A shares and 40.7 billion H- shares. The value of the placement amounted to the equivalent of approximately 22 billion U.S. dollars.

The most important Chinese companies are guided in the Hang Seng China Enterprises Index, including the so-called red chips.

60 percent of the daily volume on the Hong Kong Stock Exchange is obtained with H - shares.

H share

A-share ( A-share )

B- share ( B -share )

H- share ( H -share )

Listing on stock exchanges except for Chinese