How to start trading Hang Seng Index (HK 50) with Capital.com?

To start trading Hang Seng Index (HK 50) with Capital.com, Open Capital.com CFD Account and log in to the Capital.com Official Website.

Then you need to make a deposit to your account before starting trading Hang Seng Index (HK 50).

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Why is the Hang Seng Index (HK 50) so important?

The Hang Seng Index (HK 50) is an index that gathers 50 stocks of the largest and most actively traded listed companies in Hong Kong. Since its establishment, the Hang Seng Index has become the benchmark index and main indicator of Hong Kong market performance under the name of “Hong Kong Dow Jones Index,” and it is also an important indicator of the pan-Asian market.

The constituent stocks of the Hang Seng Index include the stocks of the largest and most liquid companies in the region, mainly financial companies. The Hang Seng Index is divided into four main sub-indices: financial, industrial and commercial, real estate and public utilities.

The reason why traders pay attention to the Hang Seng Index (HK 50) is that the Hang Seng Index can provide significant market price fluctuations and significant daily fluctuations.

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Hang Seng Index (HK 50) Trading Hours

The constituent companies of the Hang Seng Index are all listed and traded on the Hong Kong Stock Exchange (HKEX). The trading hours (Beijing time) are as follows: Pre-market trading: 09:00-09:30 Trading hours: 09:30-16:00 After-hours trading: 16: 00-16:10

Choose Capital.com trading platform, you can trade the Hang Seng Index from 10:20 – 02:55 (Beijing time) every Monday to Friday. In addition, you can also track the real-time price changes of the Hang Seng Index anytime and anywhere, and grasp the trading opportunities in the first time.

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How is the Hang Seng Index (HK 50) calculated?

Like other global stock market indexes, the Hang Seng Index tracks a basket of company stocks, and changes in its stock prices will affect index trading throughout the trading day.

The Hang Seng Index is calculated in real time at 2-second intervals during the trading hours of the Hong Kong Stock Exchange (HKEX). The index weights its components according to its market value. Therefore, the largest constituent stocks have a higher weight, while the smaller constituent stocks have a lower weight.

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Hang Seng Index Classification System and Selection Criteria

According to the Hang Seng Industry Classification System, the Hang Seng Index divides its constituent stocks into a number of different industries. The reference factors are as follows:

Sales revenue

Sales revenue is an important criterion for stock classification, in addition to profits and assets.

The main source of sales revenue

The division of index constituent stocks depends on the company’s main source of sales revenue.

Re-catalog

When the company’s business undergoes major changes, such as acquisitions or mergers, it is likely that the index constituent stocks need to be reclassified.

The constituent stocks of the index to be selected must meet the following conditions:

  • Must be within the first 90% of the total transaction amount on the Hong Kong Stock Exchange;
  • The time to market must be at least 1 year. Otherwise, it must comply with the guidelines for newly listed large stocks;
  • Must accept the Hang Seng Index Co., Ltd. (HSIL) quarterly audit. The audit time is the last day of March, June, September, and December each year.

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How to trade Hang Seng Index Contracts for Difference (CFD)?

The Hang Seng Index (HK 50) represents the major companies listed on the Hong Kong Stock Exchange, accounting for approximately 65% ​​of the market share. Because Hong Kong is a special administrative region of China, the Hang Seng Index also reflects the performance of the pan-Asian market to a certain extent.

Trading the Hang Seng Index is one of the ways to participate in Hong Kong stock trading without analyzing the company’s performance. The Hang Seng Financial Index mainly provides traders with higher liquidity, longer trading hours, and smaller spreads.

You can choose the HSI Contract for Difference (CFD) transaction. There is no need to go to traditional exchanges to support long and short markets; choose a Capital.com broker to start CFD trading immediately.

The HSI component stocks are diverse and highly liquid, which makes the HSI have good trading volume and volatility, and has become a popular choice for global CFD traders.

Choose Capital.com to trade HSI CFDs. Register a Capital.com account now, enjoy the web version and mobile client trading experience, and enter the global hot market anytime, anywhere.

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The history of the Hang Seng Index (HK 50)

On November 24, 1969, the Hang Seng Index compiled by the Hong Kong Hang Seng Bank was officially announced. The Hang Seng Index Co., Ltd. was responsible for auditing and quarterly review.

According to records, Hong Kong’s Hang Seng Index reached a record high of 33,154.12 points in January 2018, and a record low of 58.61 points in August 1967.

On November 6, 2018 (Tuesday), the Hang Seng Index rose from 25,934 points in the previous trading day to 26,121 points, an increase of 187 points (0.72%). Click the real-time chart of the Hong Kong HSI to view the latest developments in the HSI.

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In addition to the Hong Kong Hang Seng Index, what other Hang Seng related indexes are there?

The Hong Kong Hang Seng Index is the index most frequently cited by traders to understand the Hong Kong stock market, but there are also some related indexes composed of small and medium-sized enterprises that can also be used as reference.

The following is the Hang Seng series of indexes:

  • China Enterprise Index
  • Hong Kong Chinese Enterprises Index
  • China H-Share Financial Industry Index
  • Sustainable Enterprise Index
  • Mainland China 100 Index
  • Hong Kong 35 Index
  • Real Estate Fund Index
  • Shenzhou 50 Index
  • H-Share Index ETF
  • AH stock premium index
  • Volatility index
  • A-share industry leading index

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What is the Hong Kong Stock Exchange (HKEX)?

The Hong Kong Stock Exchange (HKEX) is one of the world’s leading exchanges. Located at the intersection of international and Chinese capital flows, Hong Kong has played an important role that cannot be ignored in the economic exchanges between China and the rest of the world over the years.

Today, the Hong Kong Stock Exchange has become the sixth largest stock market in the world and the third largest stock market in Asia, second only to the Tokyo Stock Exchange in Japan and the Shanghai Stock Exchange in China.

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