HKEx bets on hedging amid yuan depreciation

Author: Ashley Lee | Published: 13 Aug 2015

Recent yuan depreciation could be a boon for the Hong Kong Exchanges Group’s (HKEx) push into fixed income, currencies and commodities, said CEO Charles Li at a media and analyst event yesterday.

This week the People’s Bank of China changed the way it calculates the daily fixing rate of the yuan against the US dollar to better reflect market conditions. The rate will now be based on the end-day market prices from the last trading session.

The yuan is China’s onshore currency, while the renminbi typically refers to the currency offshore. HKEx expects that...