A man walks past an electronic board showing the Hong Kong stock index on March 2. A functioning capital market should offer access to a diverse range of issuers. Photo: AP
A man walks past an electronic board showing the Hong Kong stock index on March 2. A functioning capital market should offer access to a diverse range of issuers. Photo: AP
Richard Mak
Opinion

Opinion

The View by Richard Mak and Alvin M. Ho

Why Hong Kong’s stock exchange should not raise the profit requirement for listing on its main board

  • Neither the high P/E ratio of listing applicants nor the existence of ‘shell’ companies justifies a move that could shut out many small-cap firms from a fundraising platform
  • Instead, to support these companies, the exchange should consider lowering or even removing the profit requirement

A man walks past an electronic board showing the Hong Kong stock index on March 2. A functioning capital market should offer access to a diverse range of issuers. Photo: AP
A man walks past an electronic board showing the Hong Kong stock index on March 2. A functioning capital market should offer access to a diverse range of issuers. Photo: AP
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