Declaimer: For the avoidance of doubt, if there is any conflict in the meaning between the English version and the Chinese version, the Chinese version shall prevail.

To all market participants:

In order to implement the CSRC’s reform disposition of the QFII and RQFII schemes, and to ensure the reforms of registration and settlement of the QFII and RQFII schemes are performed well in accordance with regulations such as the Measures for the Administration of Domestic Securities and Futures Investments by Qualified Foreign Institutional Investors and RMB Qualified Foreign Institutional Investors, the Provisions on Issues Concerning the Implementation of the Measures for the Administration of Domestic Securities and Futures Investments by Qualified Foreign Institutional Investors and RMB Qualified Foreign Institutional Investors, and the Implementation Rules Regarding the Registration and Settlement of Domestic Securities Investments by Qualified Foreign Institutional Investors and RMB Qualified Foreign Institutional Investors (hereinafter referred to as the “Implementation Rules”), we hereby inform you of the following arrangements relating to the reform of the QFII and RQFII registration and settlement schemes:

I. Since November 1, 2020, the registration and settlement on the National Equities Exchange and Quotations (NEEQ Market) will be launched for the cash trading of QFIIs and RQFIIs. For more details on operational instructions, please refer to The CSDC Beijing Branch’s Guide to Domestic Securities Investment Registration and Settlement for Qualified Foreign Institutional Investors and RMB Qualified Foreign Institutional Investors.

II. The commencement date of other new businesses introduced following the revision of the Implementation Rules, such as margin financing and short selling and stock options business, will be notified at a later date after completion of preparatory tasks such as technical development and testing.

Please regard this as official notice of the above.

China Securities Depository and Clearing Corporation Limited

October 30, 2020