Prime brokers set to increase revenues from stock connect

Market divided over whether long-only mangers can access China via the initiative

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A divide has emerged over whether long-only managers will be able to access the Hong Kong stock connect when it goes live but a consensus has been reached that prime brokers will see an increase in revenue as hedge funds which have been excluded from the qualified foreign institutional investor (QFII) process look to ramp up their China exposure.

The Hong Kong stock connect is due to go live in October but so far long-only asset managers have expressed reservations over a number of technical iss

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