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Red Chip
(redirected from Red chips)

   Also found in: Wikipedia 0.01 sec.
Red Chip
A stock in a company operating in the People's Republic of China that trades on the Hong Kong Stock Exchange. Generally speaking, only Chinese citizens are allowed to invest on Chinese stock exchanges. Red chips are therefore separately incorporated in Hong Kong in order to allow foreign investment in Chinese companies. The term refers to the color red, which is the official color of the Communist party.


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Stocks included in the index are H-Shares and Red Chips.
You can''t just buy 500 red chips or 500 black chips; you need to have different denominations or different chips to represent different units of money.
The Hang Seng China-Affiliated Corporations Index, which traces red chips -- locally listed companies backed by Chinese government entities -- shed 22.
 
 
 
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