Financial experts warned investors to be wary of potential risks in the capital market and urged them to act in accordance with their risk tolerance, the Hong Kong Economic Journal reported on Friday.
The Secretary for Financial Services and the Treasury Ceajer Chan Ka-keung cited the divergent monetary policies of major central banks as one of the chief factors clouding the Hong Kong stock market.
Investors who want take chances amid the market turbulence should plan on a long-term strategy, Chan said, adding that the city will remain vigilant and flexible in the face of market changes.
Hong Kong Exchanges and Clearing Ltd. (00388.HK) chairman Chow Chung-kong cited three challenges facing the global economy this year, namely plunging prices of commodities, fund flows resulting from changes in foreign exchange rates, and global concern over China’s long-term growth.
Despite a slide of over 800 points in the benchmark Hang Seng Index on Thursday, Chow said it was well anticipated given the declines in other major stock markets during the Lunar New Year holidays when the local bourse was closed.
Still, Chow said the Shenzhen-Hong Kong Stock Connect, which will link the two cities’ stock markets, will be launched when the markets stabilize to optimize its operation.
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