In its “Consultation Conclusions on Proposal for Introduction of Volatility Control Mechanism in the Securities and Derivatives Markets and Closing Auction Session in the Securities Market” (Consultation Conclusions) published in July 2015, Hong Kong Exchanges and Clearing Limited (HKEx) aims to implement the Volatility Control Mechanism (VCM) and Closing Auction Session (CAS) on the current trading platforms with the rollout expected to be bundled and done in phases starting from the third quarter of 2016 for the securities market, and from the last quarter of 2016 for the VCM in the derivatives market.

Key Features of the VCM Model

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Key Features of the New CAS Model

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