Shenzhen Stock Exchange (“SZSE”) recently released a Notice on Adjusting Downward the Standard for Handling Fee of Fund Transactions. According to the Notice, from 19 July 2021 on, the handling fee of fund transactions on SZSE will be lowered from 0.00487% of the transaction amount to 0.004% of the transaction amount, which will be charged for both fund purchase and selling. Fund block trade will be charged 50% of the adjusted standard for a handling fee from both the buyer and seller.
A responsible person from SZSE noted that is the second reduction of handling fee for fund transactions since the first one in 2015. It is a critical action of SZSE to put into practice the policy of the CPC Central Committee and the State Council on tax and fee reduction, to further decrease the market participation costs, and to revitalize the market. Since the beginning of this year, SZSE has, based on the actual work situation, rolled out multiple measures to reduce fees in the hope of bringing real benefits to market players, which has earned wide recognition from market participants. Next, SZSE will continue to follow the unified arrangement of China Securities Regulatory Commission, and improve service quality and efficiency unceasingly, so as to contribute to a long-range, healthy and stable development of the fund market.
