Before the establishment of this website, all the sages were the bosses or heads of banks that were looking for and exchanging shops and dealing in foreign exchange at various ports at that time. After the war, Mr. He Shanheng, Mr. Wang, Mr. Wu Shouyi, Mr. Liang Jiyi, Mr. Dong Zhongwei and Mr. Ma, who became the leaders of this venue, were the founders of major Chinese banks in Hong Kong. Ninety-four years ago, around the First World War, it was popular to buy and sell broken gold and silver in Hong Kong. Later, it developed into a bank, then into a bank, and finally into a modern bank. The establishment of this bank is entirely in line with the development of the currency and silver industries. Therefore, although this field mainly deals in gold and silver, before the war, there were [1989] big gold and silver dollars, and after the war, there were transactions in US dollars, Japanese yen, Saigon paper, Philippine peso and Mexican gold coins, all of which were conducted bilaterally with gold bars. At 1960, due to the difficulty in spot delivery of US dollar bills, the trading was suspended, and finally it was officially suspended at 1962, and the gold and silver trading has been preserved to this day.
In the past 92 years, with strict and effective rules and regulations and the spirit of employee loyalty, the gold and silver exchange has stood firm and played an important role in Hong Kong's gold market, providing a continuous, liquid and deep gold market for local and international investors and gold merchants, so that everyone can make full use of gold as investment and depth.
Since its establishment, except for 194 1 to 1945, which was closed due to the outbreak of the Pacific War and the fall of Hong Kong, it has operated in accordance with the company's articles of association and served investors. The most proud thing in this field is 1980 65438+ 10, when the Soviet Union invaded Afghanistan. The price of gold hit a record high at 65438+ 10/8, reaching HK$ 4,855.00 every day, but it fell sharply on the 23rd of the same month, reaching a minimum of HK$ 3,590.00, and the price difference reached.
1983 At the beginning of February, affected by oil price reduction, tight monetary policy of the Federal Reserve system, high interest rate and other factors, the gold price fluctuated greatly. The gold markets in the United States and Singapore stopped trading one after another, but the markets still opened for trading as usual. Based on the above two examples, investors can fully believe in the sustainability of this field.
As far as liquidity is concerned, investors who want to convert gold bars into cash or liquidate their investments have been going smoothly for decades without complaining. A notable example is that on June 5438+0970 65438+ 10 15, 945K gold was changed back to 99 as the standard to meet the demand of jewelry. At that time, the 945K gold deposited by local people exceeded 654.38+ 2 million yuan, and all the members of this field recycled it according to the fineness ratio of 945 to 99, without any dispute. This shows that the members of this gold group have clear credit and the liquidity of this gold bar is high.
As far as depth is concerned, although there are different periods of prosperity or coldness because of the fluctuation of gold price, in the early 1980s when the gold market was prosperous, the daily turnover of this market exceeded 2 million. History has proved that the strength of traders in this market is strong, and it is no problem to handle a large number of transactions when the market is booming. Let's look at the game from another angle, from the perspective of international factors. From port opening to 1939, the import, export and trading of gold are unrestricted. 1939, due to Hong Kong's entry into the pound area, foreign exchange control was needed, and the import and export of gold were also controlled. Therefore, foreign gold entered Hong Kong in a unique way after the war. In this way, foreign gold is transported to Hong Kong, then transferred to Wang Anxing, a franchise company composed of a number of foreign companies, and then brought back to Hong Kong by Macao in various private ways. This situation was not changed until June 1 974+1October1Hong Kong government lifted all import and export restrictions on gold.
Restoring direct flights to gold is of great benefit to improving the status of an international financial center. In fact, after 1974, gold merchants from London and Switzerland successively set up offices in Hong Kong to expand their business. The import, export and re-export of gold and its business in this field all achieved rapid development in the following years, reaching its peak at the beginning of 1980.
Due to political stability, free trade, respect for private property rights and a solid foundation of the rule of law, the Hong Kong market can play an important role in the international gold market. Convenient transportation, advanced communication equipment, sound financial system and strict supervision system are all important factors. Another important factor that we must point out is that Hong Kong is located in the Asia-Pacific region. Because of the time difference, it filled the vacuum period after the closing of the new york stock market and before the opening of the London stock market, making it convenient for international investors to continue trading, hedging or arbitrage in Hong Kong. International gold trading in Europe, America and Asia is going on 24 hours a day.
For a long time, we have maintained a relationship of mutual respect and cooperation with the Hong Kong Government. The Hong Kong government pursues a policy of positive non-intervention in the development of commercial trade, and exercises self-discipline in this market and strictly restricts bankers. For decades, there have been few disputes between this market and bankers, and between bankers and investors. If they happen unfortunately, they can also be resolved through consultation. Over the years, government officials and the public have praised the success of self-discipline, and we dare not be complacent. We have been striving to improve ourselves and have maintained close contact with the Financial Secretary and the Financial Services Bureau for a long time. In the case of major reform, we must first seek the will of the government before implementing it.
This market is a combination of spot and futures, which has the function of spot delivery, but it can be delayed by the delivery fee, thus producing futures. This unique trading system and trading operation were created by our sages decades ago. After decades of wind and rain, it has proved to be very effective and has permanent value like gold.
There are two kinds of gold purity: gold bars with a purity of 99% and a weight of 5 Jin Liang (called 99 gold) and gold bars with a purity of 999.9% and a weight of 1 kg (called kilogram bars). The trading unit of 99 gold is 65,438+000 Moz (65,438+0 Moz equals 37.429 g or 65,438+0.2033 Moz), and the lowest price changes by 50 cents, while the trading unit of kilogram bars is 5 kg, and the lowest price changes by 65,438+0 cents. All gold transactions are quoted and settled in Hong Kong dollars. For the convenience of domestic investors, Kg Bar also offers RMB quotations based on open prices in the morning and afternoon.
Let's briefly introduce the trading system. Bankers or their market representatives bid openly in Cantonese in the trading hall, supplemented by lots. This way of buying and selling is called open outcry abroad, and now some major futures markets are still trading in this way. Trading in this market is six days a week, Monday to 5 am and noon, 9 am to noon 12: 30; Noon is from 2: 30 pm to 5: 00 pm; There is only morning market on Saturday, from 9: 30 am to noon 12: 00. After the transaction between the buyer and the seller, within fifteen minutes, the seller is responsible for filling in the transaction form, submitting it to the buyer for confirmation, and then submitting it to the local settlement department for transaction registration, updating the warehouses of the traders and controlling risks. At the end of each market, all transactions will be settled by the intermediary, and then the settlement results will be submitted to the designated settlement bank, and the public price (for settlement) will be determined every morning and afternoon. Every once in a while, the public price will be determined according to the market price, with 5 yuan as the integer for 99 gold and kilograms as the integer for 5 cents. Record and settle the difference between the contract price and the open price of all bookmakers, and settle the profit and loss relative to the market. All business personnel must open accounts in the same designated bank to facilitate settlement. The morning market has been settled in the afternoon, and the afternoon market is in the evening.
As we said above, this market is a combination of futures and cash, and its principle is as follows. Although trading in the trading market is based on spot and settled on the same day, we have a settlement warehouse fee system, which can postpone spot settlement to the next day or even indefinitely until liquidation, giving full play to the function of futures. The storage fee is publicly agreed in the market every morning 1 1: 00 (99 gold) and1:00 (kg). At that time, the staff who intend to deliver the spot gold bars are registered and licensed separately, and the storage fee for that day is determined by the spot supply and demand.
The determination of warehouse fees is mainly influenced by two factors: (1) the relationship between supply and demand of gold and (2) the interest rate of Hong Kong dollars. If the demand (acceptance) of spot gold is greater than the supply (acceptance), the buyer who receives the gold can claim the storage fee as compensation from the seller who requests the delayed delivery of gold, that is, the storage fee is collected by the good warehouse holder and paid by the short warehouse holder, which is called in the industry terminology. If the paid-in cash is equal to the paid-in cash, the storage fee will be fixed if there is no objection between the buyer and the seller. If neither the buyer nor the seller needs to pay interest, it is called "settlement" in the industry.
Regarding risk management, there are two main measures. The first is to establish a deposit system. At present, the credit limit of each shop assistant is 65,438+0,000 taels or 75 kilograms. Within this range, there is no need to pay a deposit, otherwise, a deposit of HK$ 20,000 is required for every 65,438+000 taels and HK$ 28,000 for every 5 kilograms. Both the credit line and the guaranteed gold and silver code are adjusted at any time by the board of supervisors with the fluctuation of gold price to stabilize risks. I remember that when the market was hot in the early 1980s, the deposit per hundred taels was as high as 65,438 Hong Kong dollars +0.6 million. Because of this mechanism, the trading market can safely survive all the gold risk tides.
Another important measure is to stop discount trading. According to the articles of association, compared with the previous market price, the price difference of gold reaches HK$ 400 (kg: HK$ 65,438+00 per gram), that is, a discount is required. For example, according to the current margin standard, the listed public price is 3,500 yuan, but before the public price is determined, the current market price has risen to 3,900 yuan or dropped to 3 100 yuan. In any case, you should give a discount, which is similar to the price limit in the general market. It is necessary for the board of supervisors to announce the suspension of public warehouse trading, take the discounted price as the public price, and immediately register the spot on the board for settlement.