Individuals allowed to invest in HK

Individual investors in China are to be allowed to invest directly in securities on the Hong Kong Stock Exchange, the Wall Street Journal reported. The State Administration of Foreign Exchange announced the introduction a pilot program Monday that would allow mainland investors to buy Hong Kong securities. Investors in the program, who must open accounts at Bank of China's Tianjin branch, will not be subject to the US$5,000 annual cap on foreign currency that is in place for other mainland residents. The move is part of broader measures to invest more of China's funds overseas, especially its US$1.3 trillion in foreign exchange reserves.