Complete Guide to Hong Kong Stock Investment Accounts: In-Depth Comparison of Five Major Securities Firms, Fee Analysis, and Account Opening Strategies

Investing in Hong Kong stocks has become an important option for Taiwanese investors to diversify their assets. However, with numerous brokerage firms to choose from, how can you select the right one to reduce transaction costs and enhance your investment experience? This article organizes investor practical experiences and data comparisons to detail the features, fees, advantages, and disadvantages of the five major Hong Kong stock brokerages, helping you make the best account opening decision.

Overview of Hong Kong Stock Brokerages: Top 5 Mainstream Firms

Choosing the right broker is the first step in Hong Kong stock investing. The following five brokerages have become popular choices among Taiwanese investors due to their unique features:

Comprehensive Comparison of Hong Kong Stock Trading Fees

Investment costs directly impact returns. Below is a detailed comparison of the transaction fees for the five brokerages:

Detailed Evaluation of the Top 5 Hong Kong Stock Brokerages

Longbridge: Entry-level Choice for Beginners

Basic Information

• Trading commission: 0.03% of transaction amount, minimum HKD 3
• Platform fee: HKD 15
• Margin annual interest rate: 6.5%
• Minimum deposit: HKD 11,000 (bonus for HKD 40,000 deposit)
• Account opening platform: Longbridge App

Broker Introduction and Features

Headquartered in Singapore, Longbridge was founded by teams from Alibaba, ByteDance, and other tech giants, positioning itself as a “social” investment ecosystem. This unique focus allows investors to interact via live streams, communicate with other investors and market experts, forming a community centered around investing.

Core Advantages

• Robust social interaction features, providing learning opportunities from professionals
• Simplified presentation of complex financial data, including financial reports, valuation analysis, and institutional ratings
• Unique “Stock List” feature, similar to playlists on music platforms, helping beginners discover investment opportunities

Limitations

• Narrow product scope, mainly stocks (Hong Kong/US), ETFs, and derivatives
• Compared to established brokerages, fewer markets available for trading

IBKR: The Ultimate Tool for Professional Investors

Basic Information

• Trading commission: 0.08% of transaction amount, minimum HKD 18
• Platform fee: HKD 10
• Margin annual interest rate: 5.0%
• Minimum deposit: USD 10,000
• Account opening platform: IBKR Mobile

Broker Introduction and Features

Headquartered in the US, Interactive Brokers is one of the world’s largest online brokers, rated as investment-grade by S&P and awarded “Best Internet Broker” by Barron’s for six consecutive years. With a single IBKR account, investors can trade in over 200 countries and regions, covering 150 markets with stocks, options, futures, currencies, bonds, and funds.

Core Advantages

• Extensive product variety, truly a global one-stop investment platform with industry-leading execution
• Most comprehensive analysis tools, including fundamental explorers, third-party research, event calendars, portfolio analysis, and advanced features
• Free dividend collection
• Relatively low margin interest rates, reducing leverage costs

Limitations

• Traditional interface design, complex desktop platform, less user-friendly stock screener, requires investment experience
• Low-activity accounts may incur management fees if funds are below USD 100,000 or monthly commissions under USD 10
• Some real-time market data may require additional payment

Huasheng Securities: Convenient Account Opening Without a Card

Basic Information

• Trading commission: 0.03% of transaction amount, minimum HKD 3
• Platform fee: HKD 15
• Margin annual interest rate: 6.8%
• Minimum deposit: HKD 10,000
• Account opening platform: Huasheng Tong App
• Hong Kong bank card: Not required

Broker Introduction and Features

Huasheng Securities, part of Sina Group, integrates resources from Sina.com and Weibo via its Huasheng Tong app, providing investors with real-time financial news, analysis columns, and market updates. The platform offers high-frequency updates comparable to professional financial media. It aims for a one-stop investment experience, allowing trading in Hong Kong stocks, US stocks, A-shares, ETFs, IPO subscriptions, funds, warrants, and leveraged products, with margin financing services.

Core Advantages

• Well-integrated financial information, featuring live Q&A with KOLs
• User-friendly chart tools with free real-time quotes
• No need for Hong Kong bank cards to open an account, greatly lowering entry barriers
• “Huasheng Classroom” offers Cantonese tutorials, friendly to Taiwanese investors

Limitations

• Server stability needs improvement; delays may occur during peak hours
• Financial news push content requires investors to discern neutrality
• Mainly in simplified Chinese, language settings may need adjustment

Webull: Cost Control at Its Best

Basic Information

• Trading commission: 0.02% of transaction value, minimum HKD 2 (free during promotion)
• Platform fee: HKD 10
• Margin annual interest rate: 1.5%-6.8%
• Minimum deposit: HKD 10,000 / RMB 10,000 / USD 1,300
• Account opening platform: Webull

Broker Introduction and Features

Webull, owned by Changsha Fumi Technology, is headquartered on Wall Street, USA. The platform frequently offers promotions like US stocks with zero commissions, zero platform fees, and zero membership fees. Its Hong Kong stock fees are also competitive, attracting many retail investors. Keep an eye on the latest promotions.

Core Advantages

• Frequent zero-cost promotions, favorable margin interest rates, effectively lowering trading expenses
• Features mutual fund trading with no subscription or redemption fees, management fees automatically deducted from NAV
• Most attractive fee structure for small and medium investors

Limitations

• Limited product range, lacking bonds, forex, and other assets, restricting portfolio diversification
• Has independent clearing rights; client funds need to be self-managed, increasing management complexity

Futu: Leading Mobile Trading Experience

Basic Information

• Trading commission: 0.03% of transaction amount, minimum HKD 3 (free during promotion)
• Platform fee: HKD 15
• Margin annual interest rate: 6.8%
• Minimum deposit: HKD 10,000
• Account opening platform: Futu NiuNiu App

Broker Introduction and Features

Futu, invested by Tencent, listed on NASDAQ in 2019, holding licenses in the US and Hong Kong. The app interface is well-designed, supporting trading in Hong Kong, US, China A-shares, and funds, with built-in useful info and an active investor community.

Core Advantages

• Self-developed trading platform with integrated active social features
• Powerful charting and stock selection tools, comparable to top-tier chart platforms
• Wide range of products, enabling one-stop investment in US, Hong Kong, and China stocks
• Offers innovative features like IPO subscriptions and new stock offerings in Hong Kong

Limitations

• Does not support credit card deposits, cannot trade futures or CFDs
• Slightly less in-depth analysis compared to IBKR
• Margin interest rates are relatively high within its level

Three Approaches to Hong Kong Stock Investment Compared

First: Directly open a Hong Kong stock brokerage account

Advantages

• Significantly lower transaction costs, sometimes zero commissions
• Most diverse stock options, including derivatives like options
• Easier participation in IPOs and other privilege activities

Account Opening Process

With Hong Kong Bank Card

Online account opening is straightforward, usually completed within 1-3 working days. Fill in the info online, upload ID documents, and you can open an account quickly.

Without Hong Kong Bank Card

Options include:

• Visiting a Hong Kong brokerage in person
• Choosing brokers that accept postal applications, opening accounts at designated banks

Required documents: ID card, passport, recent 3-month address proof (bills, statements), bank statements, etc. Some brokers may require notarization by lawyers or accountants. Minimum deposit varies; inquire in advance.

Second: Use Taiwanese brokers for Hong Kong sub-accounts

Operation Mechanism

Taiwanese investors can hold licenses for “Overseas Securities Sub-Account” through domestic brokers, which assist in opening overseas securities accounts and foreign currency settlement accounts. These brokers cooperate with Hong Kong brokers to execute trades on behalf of investors.

Costs and Limitations

• Higher fees than direct account opening, as an extra layer increases costs
• Trading scope limited by domestic regulations; some Chinese state-owned stocks may not be tradable
• Fees and minimums vary among brokers

Pros and Considerations

• Funds stay within Taiwan, easier to contact local brokers if issues arise
• More convenient process, no need to transfer funds overseas
• Suitable for investors unfamiliar with overseas account opening

Third: Stock CFD Trading

Basic Concept

CFDs are derivatives where investors do not own the underlying stocks but trade on price movements. Compared to public stock markets, CFDs offer more flexible strategies, supporting short selling, leverage, and hedging.

Application Features

• Wide trading scope, covering commodities, stocks, US stocks, Hong Kong stocks, and indices worldwide
• Suitable for short-term trading and risk hedging
• Can set trading volume, leverage, stop-loss, limit orders, trailing stops instantly
• Zero commissions, supports long and short strategies

Risk Warning

CFDs involve leverage, with higher risk; suitable for experienced investors only.

Hong Kong Stock Investment Decision Guide

Different methods have their pros and cons. Using Taiwanese brokers for sub-accounts involves higher costs but offers asset security. Directly opening accounts in Hong Kong provides fee advantages, and Hong Kong stocks and dividends are tax-exempt on the exchange, with no inheritance tax—if funds stay in Hong Kong, tax burden is minimal.

However, direct account opening also faces challenges: asset management complexity, relatively complicated procedures, and the need to bear overseas asset risks. The choice depends on personal asset size, experience, risk tolerance, and financial planning.

Regardless of the broker chosen, fully understanding each platform’s fee structure, product range, and user experience is essential for making the best decision.