“Futu Holdings’ proposed dual primary listing in Hong Kong, following in the footsteps of Chinese tech firms, hedges the risk of a forced delisting from the US, gives access to mainland investors once it’s included in the Stock Connect program and enhances its profile with its customer base in its largest market,” Bloomberg Intelligence analyst Sharnie Wong wrote in a report Thursday.
The move to add another location to buy and sell Futu shares is the latest step in the online broker’s strategy to diversify avenues for growth. While the threat of delisting for about 200 companies on New York exchanges appeared to ease earlier this month, regulatory headwinds still exist.
