Hong Kong Stock Exchange Plans to Standardize Trading Units

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The Hong Kong stock exchange plans to standardize the trading units used by the 2,660 listed companies on its platform in a bid to increase liquidity, according to a consultation paper.

Hong Kong Exchanges & Clearing Ltd. is proposing to limit the trading unit size, or board lot, to eight choices starting at one share to a maximum of 10,000 shares. The trading value per lot will be capped at HK$50,000 ($6,400), according to the paper.