This article provides quick answers to common questions about Cash Plus.

1. Is Cash Plus right for me?

• Trade freely: There are no restrictions on stock trading, so you won't miss market opportunities. (Idle funds can earn returns while remaining available for trading (available in real-time for trading, T+1 for withdrawal).)
• Gain returns: Cash Plus provides idle funds with returns higher than demand deposits. Interests accrue during stock market closure, including weekends. (It utilizes professional investment management capabilities to select high-quality and stable investment instruments.)
• Once and for all: One-time agreement signing enables automatic subscriptions, no manual operations required.
• Low risk: Cash Plus primarily invests in money market funds with low risk and volatility. (The money market funds in Cash Plus adopt a three-tiered safety mechanism, including active management of diversified investment portfolio, maintaining cash within the portfolio, and establishing a safety buffer, all designed to provide liquidity for investors while earning returns.)
• Lower threshold: It features a low minimum investment requirement, no upper limit per account, and allows you to earn returns throughout the year.

2. Can I manually redeem funds in Cash Plus?

Yes, Cash Plus supports manual redemption. You may submit redemption requests at any time on the Cash Plus page. If the request is submitted before 9:10 am on a trading day (T-Day), redeemed funds will not be automatically reinvested into Cash Plus within 3 calendar days. If the request is submitted after 9:10 am on T-Day, redeemed funds will not be automatically reinvested until T+3. After the redeemed funds arrive, they can be immediately used for stock trading, IPO subscriptions, currency exchange, or withdrawals. The redeemed funds will arrive in your account by T+1. Additionally, Cash Plus can automatically subscribe or redeem based on your securities account balance:

• Automatic subscription: It only needs to be set up once. After successful setup, idle funds in your securities account will be automatically used to purchase the corresponding money market fund in Cash Plus at a designated time each day, with no subscription fees.
• Automatic redemption: Cash Plus can be used directly for stock trading. After the daily settlement, the system will automatically redeem the necessary amount from your Cash Plus money market fund holdings to cover any shortfall in your securities account, with no redemption fees.

3. Can I use Cash Plus for currency exchange and withdrawal?

When you submit a withdrawal request, the system will automatically redeem the corresponding amount from your Cash Plus money market fund holdings. It usually takes 2 trading days for the funds to arrive in your account, after which the withdrawal will be processed according to the standard timeline. If you wish to use the funds in Cash Plus for currency exchange or loan repayment, you will need to manually redeem the appropriate currency from your Cash Plus holdings. After the redeemed funds arrive, you can proceed with currency exchange or repayment.

4. Can I use Cash Plus for IPO subscription?

Longbridge Securities may support using Cash Plus for IPO subscriptions in certain cases. However, if your subscription request is submitted after 9:30 am on the trading day before the IPO subscription deadline, this option may be restricted, as redeemed funds might not arrive in time. To avoid missing IPO subscription opportunities, we recommend that you confirm with customer service and complete your IPO subscription as early as possible.

5. Can I use Cash Plus to cover position transfer fees?

Cash Plus currently cannot be used to pay position transfer fees. If transfer fees are incurred while all funds are held in Cash Plus, the fees will be paid through financing. You can view the applicable financing interest rates under Me > My Rates.

6. How are returns calculated?

Funds invested in Cash Plus before 9:10 am on a Hong Kong trading day will be confirmed on the same day, with returns distributed the next day. Funds invested after 9:10 am will be confirmed on the following trading day, with returns distributed one day later.

Note: The timing of automatic investment/redemption varies by fund and is usually completed between 8:30 am – 9:10 am.

Example:

7. How long will it take for the money to arrive after closing Cash Plus service?

If funds have been transferred to Cash Plus but are not yet confirmed, or if you hold Cash Plus units, manually closing the service will trigger an automatic redemption on the next trading day. The redeemed funds will arrive in your account by T+1.

Disclosures

This article is for reference only and does not constitute any investment advice.