Kingston

Overview of Kingston

Kingston, encompassing Kingston Securities Limited and Kingston Futures Limited, is a significant financial services provider based in Hong Kong. Established in the 1990s, Kingston operates under the regulation of the Securities and Futures Commission (SFC) of Hong Kong, ensuring a reliable and regulated trading environment for its clients.

The company offers a diverse range of market instruments including stocks, bonds, futures contracts, and options. Kingston provides account options suitable for both individual and corporate clients, ensuring flexibility and accessibility for different types of investors.

Is Kingston legit or a scam？

Under the stringent oversight of the Securities and Futures Commission of Hong Kong, Kingston Futures Limited and Kingston Securities Limited exhibit distinct regulatory statuses, significantly influencing traders on their platforms. Kingston Futures Limited, operating with a regulated status under license number AAZ082 since January 24, 2005, is authorized to deal in futures contracts. This ensures a regulated and secure environment for futures trading.

On the other hand, Kingston Securities Limited, with license number ABL789 from the same date, has exceeded its regulatory requirements for dealing in securities, potentially offering traders enhanced confidence and credibility in its operations. The diverse compliance levels of these two entities provide traders with varied and secure trading experiences, reflecting the robust regulatory framework of Hong Kong's financial market.

Pros and Cons

Pros:

1. Regulated by SFC (Securities and Futures Commission): This ensures that Kingston operates within strict regulatory standards, providing a level of security and trustworthiness for its clients. Being regulated by a recognized authority like the SFC adds credibility and ensures compliance with financial regulations.

2. Diverse Trading Platforms: Kingston offers a range of trading platforms, including Web Trader, Internet Futures Trading System, and a mobile trading app.

3. Comprehensive Educational Resources: Kingston provides valuable educational resources like financial reports, announcements, circulars, and specialized segments for investment insights. These resources are crucial for investors to stay informed and make educated investment decisions.

4. Real-Time Financial Reports and Updates: Access to real-time financial data and market updates is essential for timely and effective trading. This feature helps traders to stay ahead with the most current market information, aiding in better decision-making.

Cons:

1. Limited Customer Support: While Kingston does offer customer support, there are limitations in terms of availability or the range of languages supported. This could be a drawback for clients who require extensive support or those who are not proficient in the primary languages offered by Kingston.

2. Not Available in Some Countries or Regions: Kingston's services are not accessible to traders in certain countries or regions, limiting its reach and the ability of some international traders to utilize its platforms and services.

3. Restricted Third-Party Deposits: Kingston does not accept third-party deposits. This restriction can be inconvenient for traders who prefer or require third-party transactions, such as those using family or corporate funds not in their name.

4. Charges for Cheque Deposit Verification: Kingston imposes a charge for verifying cheque deposits if the cheque image is not provided. This additional fee can be seen as an inconvenience and an extra cost for clients who opt for cheque deposits.

Market Instruments

Kingston Securities Limited engages in various market instruments, offering a range of financial services:

1. Securities Dealing and Brokerage: Involves the buying and selling of stocks, bonds, and other securities listed on the Stock Exchange of Hong Kong. Clients can trade in various equity and debt instruments.

2. Margin Financing Service: Kingston Securities provides services allowing clients to borrow funds for investing in securities. This service enables traders to leverage their investments, potentially increasing returns (while also increasing risks).

3. IPO Financing Services: Offers financing options for investors participating in Initial Public Offerings (IPOs), the first sale of stock by a private company to the public.

4. Capital Market Services: Encompasses activities related to equity fundraising, such as underwriting and placement of securities. They assist companies in raising capital through the issuance of new shares and facilitate the process of these securities reaching investors.

Kingston Futures Limited focuses on the futures market:

1. Futures Brokerage Business: As a participant in the Hong Kong Futures Exchange, Kingston Futures engages in trading futures contracts. This includes a range of derivative products such as index futures, commodity futures, and financial futures. Clients can speculate on the future price movements of these underlying assets or hedge against potential price changes.

Both entities specialize in distinct aspects of the financial market, with Kingston Securities focusing on the securities market and Kingston Futures specializing in the futures market.

Account Types

Kingston offers two main types of accounts: Individual/Joint and Corporate.

The Individual/Joint account is suitable for personal investors or joint investors looking to trade securities or futures.

The Corporate account, designed for businesses, involves more extensive documentation for setup, including corporate financial statements and board resolutions. This type is ideal for companies engaged in larger scale or institutional trading.

Both account types require a set of standard documents like ID proofs and address proofs, but Corporate accounts need additional corporate-specific documentation.

How to Open an Account？

To open an account with Kingston, you should follow these concrete steps:

1. Read the Clients Agreement and Risk Disclosure Statement:

1. Carefully and thoroughly review the Client's Agreement and Risk Disclosure Statement provided by Kingston. This is crucial to understand the terms of service, your rights and responsibilities, and the risks involved in trading.

2. Document Witnessing or Certification:

• Your Clients Agreement and/or identity documents must be verified. This can be done in two ways:

• In-Person Verification: Have these documents witnessed by Kingston staff in their presence.

• External Verification: Alternatively, the documents can be certified by a registered person outside of Kingston. This could be a Justice of the Peace, a branch manager of a bank, a certified public accountant, a lawyer, or a notary public.

• Ensure to attach a copy of the identity document of the person witnessing or certifying your documents.

1. Complete the Account Opening Forms:

• Fill out all the required account opening forms provided by Kingston. Make sure to provide accurate and complete information as required in these forms.

1. Prepare and Submit Required Documents:

• Prepare a copy* of the necessary documents. This typically includes:

• Proof of Identity: A valid government-issued ID such as a passport or national ID card.

• Proof of Address: A recent utility bill, bank statement, or similar document that confirms your residential address.

• Submit these documents along with the completed account opening forms to Kingston for processing.

1. Follow Up:

• After submission, you need to wait for the verification and approval process to be completed. Keep in touch with Kingstons customer service for any updates or additional requirements.

1. Account Activation:

• Once your account is approved and activated, you will receive notification from Kingston. You can then fund your account and start trading as per your investment goals.

Spreads & Commissions

Kingston Securities Limited charges various fees for trading activities. Brokerage fees have a minimum charge of HK$100. Stamp duty is 0.1% for selling transactions, and transaction levies include a 0.0027% Trading Fee and a 0.004% CCASS Fee (with specific minimum and maximum charges).

For securities management, handling, and transfer fees, minimum charges apply. Additional fees include stock custody, dividend collection, and physical stock withdrawal charges.

Kingston Futures Limited's trading platform includes various products like Hang Seng Index Futures, Options, and Mini-Indexes. The commission varies between HK$15 to HK$90 depending on the product and whether the trade is placed via the internet or telephone. There are also specific trading fees and SFC levies per lot. Margin requirements for different products are detailed, with initial and maintenance values provided. These requirements are subject to adjustments as per Hong Kong Futures Exchange Ltd. schedules.

Trading Platform

Kingston offers trading experience through its Web Trader platform, Internet Futures Trading System, and a mobile trading app:

Web Trader

1. Accessibility: The Web Trader platform is accessible directly through a web browser, eliminating the need for software installation. This makes it convenient for traders who prefer quick and easy access from various devices.

2. User Interface: It typically provides a user-friendly interface, designed for straightforward navigation and efficiency in executing trades.

3. Features: The platform usually includes essential trading tools and features such as real-time quotes, charting tools, and market news updates.

4. Suitability: Ideal for traders who prefer trading securities and need a platform that is accessible from any location with internet access.

Internet Futures Trading System

1. Specialization: This platform is specialized for trading futures contracts, offering tools and features tailored to futures market trading.

2. Software Requirement: It requires specific software and hardware configurations for optimal performance, which means it's more suitable for traders who have access to the required setup.

3. Advanced Tools: The platform offers advanced charting and analysis tools, real-time data, and comprehensive order types.

4. Suitability: Best for traders who are focused on futures trading and require a robust and feature-rich trading environment.

Mobile Trading App

1. Mobility: The mobile app offers the ultimate convenience for trading on the go. It allows traders to manage their accounts, execute trades, and view market data from their smartphones or tablets.

2. Functionality: Although mobile apps offer fewer features compared to desktop platforms, they are designed to provide essential trading tools and real-time data for effective trading decisions.

3. User Experience: The app is typically optimized for a seamless mobile experience, with an intuitive interface and easy navigation.

4. Suitability: Ideal for traders who need to access their accounts and trade while away from their primary trading setup, such as when traveling.

Deposit & Withdrawal

Kingston offers two primary methods for fund deposits: Cheque Deposit and Transfer Deposit.

1. Cheque Deposit: This includes deposits made through bank counters, cheque deposit machines, and SAC Accounts. Clients are required to provide an image of the cheque, ensuring the client's name is clearly visible, along with the deposit advice for verification purposes. If the cheque image is not provided, an administrative fee of HKD100 is charged for each cheque to obtain the image from the bank.

2. Transfer Deposit: In cases where the transfer record or receipt does not display the customer‘s name or the bank account number on file with the company, clients are asked to provide relevant information for verification of the account holder’s name. It's important to note that third-party deposits are not accepted.

Payment Fees

For cheque deposits, a fee of HKD100 is charged if the client fails to provide a cheque image for verification. This fee covers the cost of obtaining the cheque image from the bank. There's no mention of additional deposit fees for Transfer Deposits. It's advisable to check for any hidden fees or charges associated with other types of transactions or services.

Payment Processing Time

All deposits must be completed by 4:00 p.m. for same-day processing. Deposits received after this time are processed on the next business day. This also applies to deposits made on Saturdays, Sundays, or Public Holidays, which will be processed on the next working day.

For fund withdrawals, clients must submit their instructions to the Settlement Department before 12:00 p.m. The funds are then deposited into the clients designated bank account by cheque on the same afternoon. Any withdrawal instructions received after this deadline will be processed the following business day.

Customer Support

Kingston offers dedicated customer support to assist clients with their queries and issues. Clients can reach out to the support team through various channels:

1. Contact Number: For immediate assistance, clients can call the customer support at +852 22986200. This service is particularly useful for urgent queries or issues that require real-time support.

2. Email Support: For less urgent inquiries or when detailed documentation is needed, clients can email the support team at kg@kingston.com.hk. Email support is suitable for detailed queries, document submissions, or when a record of the communication is required.

Educational Resources

Kingston provides a range of educational resources in order to enhance the investment knowledge and skills of its clients:

1. Financial Reports: These reports are essential for understanding the financial health and performance of companies. Investors can use this information to make informed decisions based on a company's profitability, revenue streams, expenses, and overall financial stability.

2. Announcements and Circulars: These documents offer current and relevant information regarding corporate actions, regulatory changes, and other significant events that impact investments. Keeping up-to-date with such announcements is crucial for investors to stay informed about the factors that could affect their trading strategies.

3. Investment Opportunities with Wong Tak Kee: This resource appears to be a specialized segment or publication, potentially offering insights, analysis, or tips on investment opportunities. This could be particularly beneficial for investors looking for guidance and expert opinions to navigate the complex world of investing.

These educational resources are instrumental in helping investors gain a deeper understanding of the market, stay informed about important events, and make well-informed investment decisions.

Conclusion

In conclusion, Kingston offers several advantages that make it an attractive option for investors. The company's regulation by the Securities and Futures Commission (SFC) provides a level of trust and compliance with financial regulations, ensuring a secure trading environment. Additionally, Kingston's comprehensive educational resources and access to real-time financial reports and updates are invaluable for informed decision-making, allowing traders to stay updated with market trends and insights.

However, there are notable disadvantages to consider. Kingston's customer support is limited, potentially impacting traders who require more extensive assistance or those not proficient in the supported languages. The unavailability of services in certain countries or regions can restrict international access. The policy of not accepting third-party deposits is inconvenient for some traders, and the charges for cheque deposit verification add cost for clients using this payment method.

FAQs

Q: What regulatory body oversees Kingston Securities Limited？

A: Kingston Securities Limited is regulated by the Securities and Futures Commission (SFC) of Hong Kong.

Q: Can I trade on mobile devices with Kingston？

A: Yes, Kingston offers a mobile trading app for trading on-the-go.

Q: Are third-party deposits accepted by Kingston？

A: No, Kingston does not accept third-party deposits.

Q: Does Kingston charge for cheque deposit verification？

A: Yes, there is a HKD100 charge if a cheque image is not provided for verification.

Q: What types of educational resources does Kingston provide？

A: Kingston provides financial reports, announcements, circulars, and investment insights.

Q: Is Kingston's customer support available in multiple languages？

A: The available languages for customer support are not specified, but English support is provided.