The stock exchanges of Hong Kong, Shanghai and Shenzhen officially set up a joint venture Tuesday that will launch three indices in the next two months tracking cross-border stocks, including those of the biggest A-share firms and mainland companies listed in Hong Kong, South China Morning Post reported. The US$38.7 million (HK$300 million) China Exchanges Services venture aims to boost the Hong Kong exchange’s competitiveness as it struggles with lower turnover and a decline in initial public offerings. The venture will license the indices to investment banks and brokers next year to launch index-related derivatives, including exchange traded funds, said Bryan Chan Ping-keung, the head of market data at HKEx and the venture’s chief executive. Hong Kong Exchanges and Clearing (0388.HKG) may also launch futures or options based on the indices. HKEx first announced the planned joint venture in August last year during a visit by Vice-Premier Li Keqiang.