Turnaround Trading (China B-Shares)

From MarketsWiki

This page is not complete!

Do you have knowledge to contribute on this or other subjects?

Help the wiki grow -- add what you know.

Turnaround trading is a trading method designed for China B-shares since B-shares are settled on T+3. In turnaround transactions, B-shares that have been purchased but not been settled and delivered can be fully or partially sold during the period from T+1 to T+3 prior to delivery^[1]. But investors can only settle these transactions on the third trading day after selling B-shares through turnaround trading. Investors have to meet the following conditions in order to carry out turnaround trades:

1. An investor can only sell shares after buying (no short-selling).

2. Shares that an investor have bought or sold on different trading days can only be cleared separately.

3. Transactions concluded on different trading days must carry out settlement and delivery on the third trading day after the transaction respectively.

4. Turnaround trading can also be applied to cross trading

This page needs a sponsor.

Put your logo here!

Email us for information
on how to support MarketsWiki.