Analysis of the New Policy on Mainland Access to Hong Kong & US Stocks

I. What exactly does this new policy say?

In the simplest terms: Within two years, the main channels for mainland Chinese to trade Hong Kong and US stocks through overseas brokers will be forcibly shut down.

Effective immediately:

• Overseas brokers like Futu, Tiger Brokers, and Longbridge are prohibited from marketing, soliciting, or opening accounts within mainland China.
• They are prohibited from continuing to provide deposit services to mainland residents.
• Self-media accounts promoting these brokers are also included in the rectification list.

What happens to existing accounts:

• Existing holdings will not be forcibly liquidated and can be maintained.
• However, only one-way selling, withdrawals, and fund transfers out are allowed.
• No new positions can be opened, and no new deposits can be made.

After the two-year concentrated rectification period ends (2028):

• Apps, websites, and servers will be completely shut down, fully exiting the mainland Chinese market.

This is not the first tightening. Since 2022, Futu and Tiger Brokers have been successively required to rectify; in September 2025, restrictions were further tightened, requiring mainland users to provide overseas proof of residence to open accounts. This time is the final wrap-up, establishing penalties and a legal basis.

What's the essence? Compliance management of cross-border capital flows has always been a core regulatory issue. This time, it has escalated from "risk warnings" to "enforcement on the ground."

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II. What are people saying?

As soon as the policy was announced, public opinion exploded. I've selected a few of the most representative comments:

@ArtofSpecuycky (Investment blogger):

"The real nuclear bomb for the cross-border Hong Kong/US stock brokerage circle landed around today's market close. The worst-case scenario for the future: existing US stock accounts gradually lose buy and deposit functions. No one is forcing you to sell your holdings in Apple, Tesla, or Nvidia immediately, but once you sell, the funds might only be withdrawable, unable to be used to buy new US stock assets... I took the opportunity this morning to buy a bit more of stocks I plan to hold for 1-2 years without moving."

@punk2898 (Crypto blogger):

"These funds won't disappear; they will just be diverted—either into A-shares or Hong Kong stocks. It's not just mainland regulators; the Hong Kong Securities and Futures Commission also issued simultaneous guidelines emphasizing compliant account opening and anti-money laundering. The simultaneous tightening from both sides sends a clear signal this time."

@XXY177 (Xia Xueyi, personal finance blogger):

"How can ordinary mainland Chinese participate in US stocks? Three practical options: ① US bank card + US broker (no need to consider taxes, optimal choice, the US does not participate in CRS, capital gains tax is fully exempt, dividends only have 10% withholding tax); ② Hong Kong bank card + Hong Kong/US broker (must remember to file taxes); ③ QDII funds (simplest and most compliant, buy directly on Alipay, but cannot buy individual stocks, management fees are relatively high)."

@MMXZ_FIRE (Mu Muxi):

"The cleanest route is having a US bank card. I opened an HSBC US card earlier this year; ACH transfers to US stock brokers arrive instantly, with 0 fees and no CRS issues. Depositing via Hong Kong cards is getting increasingly difficult and will likely be targeted next."

@bellypig66 (Investor):

"Bought the dip on Futu at 75-83, let's see if there's a rebound. Actually, if you read Xinhua's wording carefully, there's a loophole left—people living and working overseas can still normally participate in overseas market trading. The policy targets 'operating within the mainland,' not the 'overseas licensing' itself."

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III. Panorama of Alternative Paths

Conclusion first: The path isn't dead; the threshold is just higher, requiring more execution.

Just like cryptocurrencies, despite strict regulations, the crypto world is still fine, right? It's just that the threshold is higher, making direct entry more costly for ordinary people. But those who are determined to figure it out will always find a way.

Listed below in order from most compliant to requiring more effort:

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✅ Tier 1: Legal and Compliant, Zero Threshold (Recommended for everyone)

1. Hong Kong Stock Connect

Buy Hong Kong stocks directly from an A-share account, part of the Shanghai/Shenzhen-Hong Kong Stock Connect, completely legal. Tencent, Alibaba, Meituan, BYD Hong Kong shares, Hong Kong tech stocks—all can be bought. Use RMB to buy, automatic currency conversion.

Only limitation: Cannot buy US stocks, and not all Hong Kong stocks are on the list.

2. QDII On-market ETFs (The closest legal experience to directly buying US stocks)

In the A-share market, directly buy ETFs tracking US stock indices:

• Nasdaq 100 ETF (513300, 159941)
• S&P 500 ETF (513500, 159612)
• Hang Seng Tech ETF (513130)

Trade like stocks, extremely low threshold, low fees. This is currently the most worry-free US stock alternative for most ordinary people.

Watch the premium rate; popular products sometimes trade at a premium—check before buying.

3. QDII Public Funds

Available on Alipay, Tian Tian Fund, etc., starting from 1000 RMB, covering Nasdaq, S&P 500, US tech themes. Disadvantage: Relatively high management fees (usually over 1%/year), long-term compounding will be eroded.

4. Cross-boundary Wealth Management Connect (Exclusive to the Greater Bay Area)

Special program for residents of the Guangdong-Hong Kong-Macao Greater Bay Area, allowing purchase of Hong Kong bank wealth management products through mainland banks, quota of 1.5 million RMB per person. Skip if not in the Greater Bay Area.

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⚠️ Tier 2: Requires Effort, But Solutions Exist (Requires high execution)

5. US-based Brokers + US Bank Card

US brokers differ from European and Hong Kong systems in their compliance structure, which significantly impacts the tax filing process for international investors.

Currently, US brokers relatively friendly to overseas Chinese:

• Firstrade: Only a passport is required to open an account, $0 commission, no minimum deposit, widely used in the Chinese community.
• Charles Schwab: Commission-free, international accounts can be opened with passport + address proof; ACH deposits via a Wise USD account have very low fees. International account opening promotion is still visible, not yet tightened.

Deposit path: Use Wise (international money transfer platform) for currency exchange and ACH transfer, or get an HSBC US card for direct operations—both are relatively smooth.

Note: Both Wise and HSBC US cards have certain application thresholds, but the processes are public and transparent; you can research them.

6. Interactive Brokers (IBKR) (Not recommended for new accounts currently)

On May 23rd, market rumors emerged that IBKR would comprehensively clear out mainland users, currently adjusting mainland accounts uniformly according to the latest compliance requirements and gradually tightening account opening and service arrangements. Specific details are still subject to subsequent platform announcements. Currently not recommended for mainland users to open new accounts.

Users who already hold IBKR accounts can continue to hold existing positions. It is recommended to follow platform announcements and prepare for asset migration in advance.

7. Traditional Licensed Hong Kong Banks/Brokers

HSBC Hong Kong, BOC International, CMB Wing Lung. The core target of this regulation is "illegal operations within the mainland"; Hong Kong licensed institutions themselves are relatively less affected.

But the prerequisite is: You need a genuine Hong Kong address proof, or Hong Kong citizenship/Macao travel permit + actual Hong Kong residence records. Pure mainland ID cards can basically no longer open accounts.

8. Small Brokers Still Accepting Mainland Account Openings

The policy boundaries are still being clarified. The following are still operating normally:

• uSMART Securities: Can open accounts online, good interface experience.
• Chief Securities (Hong Kong veteran broker): Can open accounts online.
• Fosun Securities (StarWealth): Can open accounts online, has some brand backing.
• Yunfeng Securities: Hong Kong licensed (AAB499), recently supports Hong Kong/US stocks + virtual assets.

All of the above require an overseas bank card for deposits. Compliance boundaries are still dynamically adjusting; recommend small positions to observe, not suitable for heavy positions.

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⛔ Tier 3: Not Recommended for Ordinary People

Tokenized Stocks / Crypto Asset Deposit Channels

Some overseas platforms are exploring using digital assets to buy tokenized US stocks (like Ondo Finance, etc.), and some platforms support depositing stablecoins to trade real stocks.

Technically, these solutions exist, but domestic regulators' stance on virtual asset trading has always been clear, and relevant departments reiterated their policy position again in early 2026. On-chain records themselves are also not as "secret" as imagined.

For the vast majority of ordinary people living and working in China, the uncertainty of this path far outweighs the potential benefits—not recommended to try lightly. Friends residing long-term overseas should operate according to local regulations.

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IV. Who Can Catch This Wave of Enormous Opportunity?

Frankly, my personal interest in global market allocation won't fade because of a piece of policy.

The underlying logic of this US stock bull run hasn't changed: the world's highest-quality capital and companies continue to gather there, and the S&P 500's long-term annualized returns are there. This structural advantage isn't something short-term policy can change.

The current situation reminds me of a similar process another field went through. There were also emerging markets where regulations frequently tightened, and many thought the path was blocked—but in the end, those who were determined figured out their respective positions. It's just that the threshold got higher, and the entry cost went up.

So don't panic yet. Let the dust settle, let things develop a bit more.

Just one day after the policy landed, rumors emerged about IBKR clearing out mainland users—the situation is evolving faster than expected. Will traditional Hong Kong banks be affected? Will Schwab and Firstrade be next? How long can uSMART, Fosun, etc., hold on? The boundaries are still being contested; none of this is certain yet.

Once the dust settles, someone will definitely carve out a clearer path.

And this essentially tests one thing: execution.

Just like with AI, where capabilities are getting stronger and ideas are not lacking—what's lacking is taking action—investing in US stocks is also increasingly requiring execution.

Those who really wanted to buy and were willing to put in the effort already set up their Hong Kong cards, foreign cards, and IBKR accounts back in 2022. Now with the policy tightening, they just have one more layer of defense; they're not panicking.

And those who kept waiting, saying "I'll do it later," now find that even if they want to buy, they can't.

This isn't a policy problem; it's an execution problem.

Reference Sources

1. Tiger Brokers, Futu, and Longbridge to Face Penalties — How the Two-Year Intensive Crackdown Will Affect Cross-Border Stock Investors — Xinhua News — Authoritative report on the "Implementation Plan for Comprehensive Crackdown on Illegal Cross-Border Securities, Futures, and Fund Business Activities" interpreted in this article, including penalty details and the crackdown timeline.