Hong Kong Exchanges and Clearing Limited (number 00388) Chen Yiting: Geopolitical situation prompts diversification of funds allocation, benefiting Hong Kong market and LME.

On May 7th, HKEX (00388) CEO Charles Li addressed the Asia Metals Seminar at the London Metal Exchange (LME) in London, stating that ongoing geopolitical uncertainties are prompting global investors to break the long-standing phenomenon of capital being highly concentrated in a few stocks, and seek diversified allocations to manage risks. This capital naturally flows towards Asia, which has enormous growth potential, and chooses Hong Kong as an international financial center highly connected to the Asia-Pacific region and the global market, further boosting the performance of the Hong Kong capital market and LME non-ferrous metals market. Charles Li pointed out that the number of Hong Kong warehouses recognized by LME, under the Hong Kong Exchanges and Clearing Limited, has increased from the initial 4 last year to 15 now, nearing saturation, describing it as an important milestone in establishing a connected physical market. Charles Li mentioned that LME is committed to continuous progress, with the launch of a new trading platform attracting new members, and mentioned that CLSA UK has recently become a member. Additionally, LME and HKEX will explore more collaboration projects, including futures and RMB-priced products, to create a comprehensive commodity ecosystem in Asia. LME will launch electronic options later this year and has introduced collateral services including offshore renminbi (CNH). The group is also consulting on optimizing physical market infrastructure and advancing the pricing plan for "sustainable metal premiums". She also mentioned that HKEX has appointed Zhang Ming as Managing Director and Head of Commodity Business, who will assist in formulating long-term strategies for the regional commodity business, with the goal of constructing a comprehensive commodity ecosystem in Asia.