SmartSave is an automated financial service provided by Futu HK for managing your uninvested cash. Once activated, uninvested cash in your securities account will be automatically invested into money market funds after the market closes on each trading day. If you have an account deficit, an equivalent amount of money market funds will be automatically redeemed to cover the shortfall.
The money market funds you hold will go into your buying power, allowing you to trade stocks, participate in IPO subscriptions (0 financing interest applies), or invest in any other types of mutual funds.
Activate SmartSave-Buy to make use of your uninvested cash by setting a retained amount* and automatically investing the rest into money market funds at a fixed time on each trading day.
● HKD Cash: 21:30 HKT
● USD Cash: 08:00 HKT
Note: The retained amount refers to the amount of cash you'd like to keep in your account. For example, if you have HK$1000 uninvested cash in your account and you set the retained amount as HK$400, then only HK$600HKD will be automatically invested into money market funds.
To be eligible for SmartSave-Buy, you require a cash account or margin account. SmartSave-Redeem is only available to margin accounts. You may activate or suspend SmartSave-Buy at any time.
Activate SmartSave-Redeem and the money market funds you hold will be redeemed automatically when you place stock trades and subscribe to IPO stocks, or other types of mutual funds.
Note: SmartSave-Redeem is only available to margin accounts.
If you have a negative balance in your account, the system will automatically redeem an equal amount of Cash Plus (MMF) in the same currency at a fixed time* on each trading day.
● HKD Cash Plus (MMF) : 00:00 HKT
● USD Cash Plus (MMF) : 07:00-09:00 HKT
If you hold multiple MMFs, the MMFs will be redeemed in order of the lowest to the highest daily return.
Example
If you hold both MMF A and MMF B, and MMF A has a higher daily return for 10K, when your account balance is negative, MMF B will be redeemed first. MMF A will only be redeemed when the amount of MMF B is insufficient to cover the negative balance.
Note: The funds used for Hong Kong IPO subscriptions will be debited earlier than the fixed time, the system will redeem an equal amount of Cash Plus (MMF) earlier than the given time to avoid any interest charges.
3.2.1 Smart Buy
Activate Smart Buy to make use of your uninvested cash by setting a retained amount* and automatically investing the rest into Cash Plus (MMF) at a fixed time** on each trading day.
*The retained amount refers to the amount of cash you'd like to keep in your account. For example, if you have HK$1,000 uninvested cash in your account and you set the retained amount as HK$400, only HK$600 will be automatically invested into Cash Plus (MMF).
**The system will send a notification between 8:00 and 8:20 HKT and automatically invest in Cash Plus (MMF) between 8:30 and 8:50 HKT.
3.2 Smart Sell
Activate Smart Sell and your Cash Plus (MMF) positions will be redeemed automatically when you place stock trades and subscribe to IPO stocks or other types of mutual funds.
If you have a negative balance in your account, the system will automatically redeem an equal amount of money market funds (MMFs) in the same currency at fixed times* on each trading day.
*The fixed times refer to 07:00-07:40 HKT and 08:00-08:20 HKT.
If you hold multiple MMFs, the MMFs will be redeemed in order of the lowest to highest daily return.
For example, if you hold both MMF A and MMF B, and MMF A has a higher daily return for 10k, when your account balance is negative, MMF B will be redeemed first. MMF A will only be redeemed when the amount of MMF B is insufficient to cover the negative balance.
3.3 How to manage SmartSave
You can go to Wealth > Cash Plus > Manage SmartSave to activate/pause Smart Buy and Smart Sell.
The SmartSave service doesn't charge any fees on automatic subscriptions and redemptions of money market funds.
*Note: In very rare cases, interest charges may apply due to the fact that the amount of money market funds redeemed is insufficient to cover the negative balance in your account. Therefore, we suggest you pay attention to the amount of funds you owe and the amount of funds redeemed.
The HKD money market funds will be added to your buying power, which can be used to participate in IPO subscriptions.
When a negative account balance results from subscribing to Hong Kong IPO stocks, an equal amount of HKD money market funds will be redeemed automatically to cover the negative balance. If the amount of HKD money market funds redeemed is insufficient to cover the negative balance, you'll need to manually redeem USD money market funds and make a currency exchange, or use cash to repay the account deficit.
Notes:
1. Currency exchange is available 24*5.
2. When you redeem money market funds manually, it usually takes 2 business days (T+2) for the funds to settle and arrive in your account. To avoid any interest charges resulting from HK IPO subscriptions, we suggest you redeem your money market funds in another currency other than HKD in advance.
When you activate SmartSave, your holdings of money market funds go into your buying power at a ratio of 100:95.
Example
If the cash value of your money market funds equals 100 XYZ shares, the additional buying power of the money market funds will be equal to 100 * 0.95 = 95 XYZ shares.