FAQs

How to use and FAQs

RMB Products

Invest in RMB Products
1. What is a Renminbi (RMB) product?
   A Renminbi (RMB) product is a general term which may include a wide range of investment products denominated or settled in Renminbi or have exposure to Renminbi-linked assets or investments.

Trade RMB Products through BOOM
RMB as Settlement Currency
1. Do I need to have RMB in my BOOM account before trading RMB products?
   No. You can trade RMB products with any of the currencies in your BOOM account, including HKD, CNY, USD, CAD, JPY, SGD, AUD, GBP and EUR. Currency conversion will be done for you after your order(s) are executed.
2. What if I do not have sufficient RMB in my BOOM account to settle trades of RMB product?
   By holding a BOOM account, you do not need to worry about settlement currency, including RMB.
   
   If you do not have sufficient settlement currency in your BOOM account, we will arrange currency conversion to sell your available currencies and buy the required amount of settlement currency for your executed trade(s).
3. After selling my RMB stocks, can I keep RMB in my BOOM account?
   Yes. Your BOOM account is a "Multi-Currency" stock trading account, in which you can deposit and keep eight different currencies including HKD, CNY, USD, CAD, JPY, SGD, AUD, GBP and E. As such, you can keep Chinese Yuan Renminbi (CNY or RMB) in your BOOM account from the selling your RMB stocks.
Margin Financing
4. Can I get margin financing on RMB-denominated listed securities?
   Yes. You can get margin financing from the RMB-denominated Hong Kong listed securities you held in your BOOM account, except for warrants, suspended, illiquid and "penny" stocks.
5. I have a margin account with BOOM, can I borrow margin loan in RMB?
   No. You can only borrow margin loan in Hong Kong dollars (HKD) and / or US dollars (USD).

Hong Kong RMB Initial Public Offer ("HK RMB IPO")
1. Can I apply HK RMB IPO online?
   Yes. Just like other HK IPOs, you can apply for HK RMB IPO through your BOOM account online.
   
   For more details about HK IPOs subscription, please refer to the FAQ section of "Initial Public Offer".
2. Can I apply for HK RMB IPO if I do not have RMB in my BOOM account?
   Yes. If you do not have RMB in your BOOM account, you can still submit your application to subscribe HK RMB IPO.
   
   On the application, you can authorize BOOM to buy RMB on your behalf, or you can inform BOOM your intention to deposit RMB to your BOOM account.
3. Can I deposit my RMB into BOOM for my HK RMB IPO application?
   Yes. If you do not want BOOM to buy RMB on your behalf, you can indicate on the HK RMB IPO application form about your intention to deposit RMB to your BOOM account.
4. How much is the handling fee for HK RMB IPO application?
   The handling fee of HK RMB IPO subscription is RMB 100.

Funds Management
Deposit Chinese Yuan Renminbi (CNY or RMB)
1. Can I deposit Chinese Yuan Renminbi (CNY or RMB) from my bank accounts to BOOM?
   Yes. You can deposit Chinese Yuan Renminbi (CNY or RMB) from your RMB bank account(s) to BOOM by cheque or transfer (including inter-bank transfer or telegraphic transfer, TT).
   
   For more details, please refer to the FAQs section of "Funds Deposit".
2. Is there any daily limit or restriction of depositing Chinese Yuan Renminbi (CNY or RMB) into my BOOM account?
   No. You are free to deposit any amount of Chinese Yuan Renminbi (CNY or RMB) into your BOOM account.
Withdraw Chinese Yuan Renminbi (CNY or RMB)
3. Can I withdraw Chinese Yuan Renminbi (CNY or RMB) from BOOM to my bank accounts?
   Yes. You can withdrawal Chinese Yuan Renminbi (CNY or RMB) from BOOM to your RMB bank account(s) by cheque or transfer to your bank account(s) in Hong Kong.
   
   Kindly note we are not able to wire your CNY to any bank account outside Hong Kong.
   
   For more details about funds withdrawal, please refer to the FAQs section of "Funds Withdrawal".
4. Is there any daily limit or restriction of withdrawing Chinese Yuan Renminbi (CNY or RMB) from my BOOM account?
   No. You can withdraw partial or all of the Chinese Yuan Renminbi (CNY or RMB) held in your BOOM account.
Convert to/from Chinese Yuan Renminbi (CNY or RMB)
5. Is there any daily limit if I convert Chinese Yuan Renminbi (CNY or RMB) through BOOM?
   No. BOOM converts Chinese Yuan Renminbi (CNY or RMB) for you in Hong Kong’s RMB Offshore Market, which is not subject to the daily limit of CNY 20,000 per day per person.
6. How do I give BOOM an instruction to convert my funds to/from Chinese Yuan Renminbi (CNY or RMB)?
   You can login to "Place FX Instruction" under the "Funds Management" section, and then submit an online instruction requesting BOOM to convert your currencies, e.g. convert your funds into Chinese Yuan Renminbi (CNY or RMB).
7. What should I know before converting Chinese Yuan Renminbi (CNY or RMB)?
   Below are some important points you should know before converting Chinese Yuan Renminbi (CNY or RMB) in your BOOM account:

   1. BOOM will convert Chinese Yuan Renminbi (CNY or RMB) for its clients in Hong Kong's RMB Offshore Market, which is not subject to the daily limit of CNY 20,000 per day per person.
   2. The exchange rate of converting Chinese Yuan Renminbi (CNY or RMB) is based on the "offshore rate" (which may be deviated from the "official rate" quoted by the People of Bank of China) from BOOM's banker plus a small handling fee. The all-in exchange rate of such conversion will be shown in clients' "Fund Movement History" under the "Account History" section when the FX conversion is done.
   3. If there is lack of market supply of Chinese Yuan Renminbi (CNY or RMB), BOOM might not be able to execute your instruction to CNY and as such the respective FX instruction will be cancelled.
   4. Like any currency, the exchange rate of Chinese Yuan Renminbi (CNY or RMB) may rise or fall. You should also be aware that the currencies exchange for CNY is subject to market liquidity and availability. Though you can request BOOM to buy CNY on your behalf, BOOM cannot guarantee that there is sufficient CNY liquidity and availability in the market.