Yuan counter open to REITs, says SFC

The Securities and Futures Commission said real estate investment trusts can apply for a yuan trading counter once the scheme is launched at the end of June, while the inclusion of REITs into the Stock Connect scheme is still under consideration.

Julia Leung Fung-yee, chief executive of the securities watchdog, said that more than 20 leading listed companies - accounting for about 40 percent of the daily stock market turnover - have signed up for the Hong Kong dollar-yuan dual counter model, and a number of market makers are ready to provide liquidity between the two counters.

The SFC will continue to work with mainland regulators to explore potential regulatory cooperation and connectivity between Hong Kong and mainland REITs, Leung said at a Hong Kong REITS Association luncheon yesterday.