Hong Kong to expand investment sources amid warming market sentiment: financial secretary

HONG KONG, Sept. 22 (Xinhua) -- It is time for Hong Kong to explore more sources of investment as the U.S. Federal Reserve's 50-basis point interest rate cut is expected to cheer up market mood and bolster businesses, Financial Secretary of the Hong Kong Special Administrative Region (HKSAR) government Paul Chan said Sunday.

Hong Kong has been recording net capital inflows, Chan noted. The stock market has risen nearly 7 percent in the past six consecutive trading days, while funds raised through initial public offerings so far this year have exceeded those of the previous year, according to Chan.

Chan stressed the need to sharpen the appeal of Hong Kong's market and diversify the sources of investment as investors are more inclined to achieve higher returns.

Saudi Arabia's Capital Market Authority had granted approval for its first exchange-traded funds tracking equities listed in Hong Kong, giving investors in Saudi Arabia and the Middle East at large easier access to Hong Kong-listed stocks, said Chan.

He said the HKSAR will continue to deepen cooperation with both developed and emerging markets for fresh impetus into its capital market.