Tony Kim
Feb 06, 2026 09:03
Hong Kong Financial Authority broadcasts 2-year Trade Fund Notes tender providing HK$1.2 billion at 2.23% rate of interest, with settlement on February 23, 2026.
The Hong Kong Financial Authority will maintain a HK$1.2 billion tender for 2-year Trade Fund Notes on February 20, 2026, rolling over a maturing problem of the identical tenor. The notes carry a hard and fast rate of interest of two.23% yearly, paid semi-annually, with settlement scheduled for February 23.
Of the full providing, HK$1.195 billion has been allotted for aggressive tender by means of Eligible Market Makers, whereas HK$5 million stays out there for retail buyers by way of non-competitive bids by means of Hong Kong Securities Clearing Firm Restricted. Any undersubscribed retail portion might be added to the aggressive allocation.
The notes mature on February 23, 2028, and can commerce on the Inventory Trade of Hong Kong beginning February 24, 2026, beneath inventory code 4108. Minimal tender quantities are set at HK$50,000 or multiples thereof for each aggressive and non-competitive members.
Yield and Pricing Context
On the acknowledged 2.23% coupon fee, the notes worth close to par at roughly 100.02. The HKMA’s printed worth/yield desk exhibits pricing starting from 101.98 at a 1.23% yield right down to 98.13 at 3.23%, giving bidders a reference framework for aggressive submissions.
Trade Fund Notes serve twin functions inside Hong Kong’s financial framework. Past functioning as funding devices, they type a part of the Financial Base supporting the Linked Trade Price System that pegs the Hong Kong greenback to the US greenback. The Trade Fund backing these notes held HK$4,151.4 billion in whole belongings as of December 31, 2025.
Market Participation
Retail buyers should submit non-competitive bids by means of Inventory Trade Members or instantly by way of CCASS Investor Accounts. Aggressive bidders are restricted to working by means of HKMA-appointed Eligible Market Makers listed on the authority’s web site.
Tender outcomes might be printed on the HKMA web site, Refinitiv, and Bloomberg following the one-hour bidding window from 9:30 to 10:30 a.m. on February 20. The HKMA ceased issuing EFNs with tenors of three years or longer in 2015, making the 2-year notes the longest-dated common providing in this system.
Picture supply: Shutterstock
