What does SEHK do?

• A. Issues licenses to brokers
• B. Coordinates cross-border settlement only
• C. Operates the HK stock market under SFC supervision
• D. Manages foreign exchange reserves

Answer: (C)

SEHK is the operator of the Hong Kong stock market. It runs the trading platform where buyers and sellers execute trades in listed securities, oversees market operations and listing rules, and provides market data. This role is carried out under the supervision of the Securities and Futures Commission, which regulates market conduct and protects investors. Other tasks in the choices belong to different bodies: licensing brokers is a regulatory duty of the SFC, cross-border settlement involves clearing and settlement infrastructure, and managing foreign exchange reserves is the responsibility of the Hong Kong Monetary Authority.