Frequently Asked Question

To comply with the Italian FTT law, with effect from 1 March 2013, customers who trade shares issued by Italian resident companies which listed on The Stock Exchange of Hong Kong Limited (e.g. Prada S.p.A. (Stock Code: 1913)) via our Bank are required to pay for the Italian FTT. The tax rate is currently 0.1% in respect of shares listed on The Stock Exchange of Hong Kong Limited and settled in 2014 and onwards.

Italian FTT is calculated based on daily net increase of customer's beneficial holding of the same share at account level on each settlement day xtimes weighted average purchase price xtimes 0.1%. Example: Customer buy/sell the same shares “A” which is issued by Italian resident company on the same day via the same securities account:

Due to uncertainties in the implementation and application of the Italian FTT law on derivative transactions (effective from 1 September 2013), the bank with immediate effect will not accept any purchase/sell or transfer-in instruction for derivatives (e.g. Warrants, CBBCs etc) which are linked to shares issued by Italian resident companies.