FUTU HK Help Center-Trading Rules
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Trading Rules

1. How to buy structured notes

1.1 What are the requirements to buy structured notes

To buy structured notes, you must:

1) Get verified as a professional investor

2) Have a securities account and a fund account with Futu HK

1.2 How can I buy structured notes in the app

1) Go to Wealth > Structure Notes, and select the note you'd like to buy, or contact us for product personalization

2) Enter the face value you want and tap Buy to submit the order

3) Wait for the issuer to confirm the transaction (usually within two trading days after submitting the order)

1.3 How can I calculate the order amount

Order Amount = Face Value * Issue Price

Note: Commission fees are included in the issue price.

1.4 Buying Power

1) How can I check my buying power

The values behind Buy on Cash and Buy on Margin indicate your buying power.

Buy on Cash = cash buying power without using margin

Buy on Margin = maximum buying power after adding stock positions as collateral

If you have activated Unified Buying Power, your Cash Plus (MMF) holdings will go into your cash buying power and maximum buying power.

2) Can I buy structured notes on margin

If your paying account is a margin account and the order amount exceeds your cash buying power, you'll be notified that margin will be used to cover the shortfall. If the order amount does not exceed your cash buying power, margin will not be used.

3) What are the interest charges if I use margin

• margin rate

click: Margin

• When does the interest begin to accrue

A structured note transaction usually settles on the issue date. If the issue date falls on a non-trading day, settlement is advanced to the previous trading day. If you have a negative balance in your account after the transaction settles, interest will be accrued daily and settled monthly.

Example

If you place a structured note buy order on the transaction day (T day), and the notes are issued five days after the T day (T+5), interest will begin to accrue if you have a negative balance after the transaction settles on the T+5 day.

1.5 What is the maximum/minimum issuance amount

As required by the note issuer, to ensure product issuance, the total order amount shall reach the minimum issuance amount and shall not exceed the maximum issuance amount. Otherwise, the product won't be issued, your order will expire, and your funds frozen for the order will be released.

1.6 When can I view my holdings after placing the order

Note transactions are usually confirmed within two trading days. You can check your holdings once the transaction has been confirmed. Before that, you can check the latest status of the order and the details.

Note: The actual confirmation time may vary depending on the issuer.

 

2. Order cancellation rules

After placing a buy order, the order can be canceled at any time before the subscription deadline.

 

3. Redemption rules

Early redemptions before the note matures are currently not allowed.