| Item | Contract Details | |||||||||||||||||||||||||||||||||
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| Underlying Stock andHKATS Code | Please refer toThe List of Stock Option Classes | |||||||||||||||||||||||||||||||||
| Option Types | Puts and calls | |||||||||||||||||||||||||||||||||
| Contract Size (in terms of shares) | Please refer toThe List of Stock Option Classesfor the contract size and option type of individual stock options | |||||||||||||||||||||||||||||||||
| Contracted Value | Option Premium multiplied by the Contract Size | |||||||||||||||||||||||||||||||||
| Contract Months | Spot, the next three calendar months and the next three calendar quarter months (The Exchange may introduce any other longer-dated expiry month in selected stock option classes as it deems necessary.) |
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| Minimum Fluctuation | $0.01 $0.001 was introduced in six stock option classes: 1. Bank of China Limited 2. China Construction Bank Corporation 3. Industrial and Commercial Bank of China Limited 4. Agricultural Bank of China Limited 5. Postal Savings Bank of China Co. Ltd. 6. China Tower Corporation Limited |
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| Option Premium | Quoted in specified minimum fluctuation price (HK$) | |||||||||||||||||||||||||||||||||
| Strike Prices |
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| Trading Hours | 9:30 am – 12:00 noon & 1:00 pm – 4:00 pm | |||||||||||||||||||||||||||||||||
| Expiry Day | Business day immediately preceding the last business day of thecontract month | |||||||||||||||||||||||||||||||||
| Exercise Style(American) | Options can be exercised at any time up to 6:45 pm on any business day up to and including the last trading day | |||||||||||||||||||||||||||||||||
| Exercise Fee | $2.00 | |||||||||||||||||||||||||||||||||
| Settlement | Physical delivery of underlying shares on exercise and settlement periods are: T + 1 (options premium, payable in full); or T + 2 (stock transfer following exercise) |
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| Trading Tariff | Tier 1 $3.00 Tier 2 $1.00 Tier 3 $0.50 |
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The above contract details are subject to the announcement of HKEX.
Initial Margin Requirements
Customers who sell options (short position) need to maintain the margin obligationsof the option clearing house every day. Since the short position held is subject to the possibility of increased market risk, the margin must be settled. If the market direction is unfavorable for short-position holders, option sellers may be required to increase margin. The option clearing house will assess and collect the required margin after trading hours every day. In addition, it will charge additional marginwhen it considers necessary. Please refer to the margin requirement table on theHKEX website:
https://www.hkex.com.hk/eng/market/rm/rm_dcrm/riskdata/margin_seoch/merte_seoch.htm
