Red chip

Summary

Red chip stocks (simplified Chinese: 红筹股; traditional Chinese: 紅籌股; pinyin: hóng chóu gǔ; Jyutping: hung4 chau4 gu2) are the stocks of mainland China companies incorporated outside mainland China and listed in Hong Kong. These businesses are based in mainland China and controlled, either directly or indirectly, by the central, provincial or municipal governments of the People's Republic of China but listed in Hong Kong to allow overseas investment in the companies.

The term was coined by Hong Kong economist Alex Tang in 1992 and combines blue chip stocks with "red" representing the People's Republic of China.[1]

Stock index of red chips

The Hang Seng China-Affiliated Corporations Index (HSCACI) is a stock market index of 25 red chip companies.

List of red chip companies

As of 30 September 2020, there were 267 red chip companies, including:[2]

See also

References

  1. ^ "What are red chip shares? Definition and meaning". Market Business News. Retrieved 22 October 2020.
  2. ^ "List of Red Chip Companies". Hong Kong Exchanges and Clearing. 30 September 2020. Retrieved 23 October 2020.