How can you buy Bank of China Limited shares?
The Bank of China is a state-owned company. Founded in 1912, the bank is one of the most important state banks in China. With the strongly rising Chinese economy, it can be interesting to invest in Bank of China by buying shares. In this article you can read how you can invest in this company. You can also find the current share price of the Bank of China on this page.
It is also possible for foreigners to buy Bank of China shares on the Shanghai stock exchange. In order to be able to buy Bank of China shares, you have to be smart. It is possible to buy the shares through the Hong Kong stock exchange. This stock exchange is accessible for investors from all countries.
An investment in Bank of China can work out well: it is a bank in one of the fastest growing economic areas of the world. Chances are that the company can become even more profitable in the future. At eToro, you can even buy the shares without paying commissions. Use the button below to open an account with eToro:
Your capital is at risk. Other fees apply. For more information, visit etoro.com/trading/fees.
How can you actively trade in Bank of China?
The Chinese stock market is not the most open market. Nevertheless, it is possible to trade actively in Chinese shares by using a detour. You can invest in CFD shares Bank of China by using the PIus500 platform. At PIus500 you can speculate on rises and decreases of the stock price.
CFD’s are derivatives with which you can bet on price differences. It is not possible to buy and hold the shares yourself as you would with a traditional broker. Using CFD’s to invest in Bank of China is therefore most suitable for people who want to actively speculate. Would you like to try the possibilities for free? Then open a free demo account with PIus500:72% of retail CFD accounts lose money.
When investing, it is important to keep a close eye on the Bank of China stock price. This chart shows the CFD share price. With the buttons, you can directly open a trading position in the stock.
About Bank of China
The bank was established to replace the Imperial Bank of China. The bank fulfilled the role of Central Bank until 1948. Of the four major banks China has, this is the one with the most international contacts. The bank offers a wide range of banking services mainly to business customers and also to private customers. The head office of the bank is located in Beijing.
History of the bank
From 1912 onwards, this bank played an important role in China’s trade with other countries. After 1949, the Bank of China became responsible for foreign exchange trade.
After 1949, the bank also played a supporting role in the trade of Chinese companies with foreign parties. The bank came into state hands in 1994. It then became a commercial organization. In August 2004, the bank became a public limited company.
In the beginning, the state owned all the shares. This changed in June 2006 when the bank’s shares were listed on the Hong Kong Stock Exchange. In July 2006, the shares were also listed on the Shanghai Stock Exchange.
Central Huijn Investments is the main shareholder of the bank. This is a holding company for the state, as Huijn has no commercial activities of its own. It is a sovereign wealth fund that has an interest of 65% in this bank. This fund also has interests in the three other major Chinese banks.
The Bank of China is a large and globally active bank
In China, the Bank of China is the second largest lender. In terms of market capitalization value, it is the fifth largest bank in the world. The bank became 100% state-owned in June 2006.
The globally active bank has branches on every continent. Outside China, the bank is active in 27 countries and territories. For example, the bank is active in Canada, Australia, Germany, France, the United Kingdom, Japan, Malaysia, Thailand, Indonesia and South Africa. The bank has a branch office in the Cayman Islands. The bank is also active in the United States. In 2010, the bank’s New York branch was the first Chinese bank to offer Remini products to Americans.
The bank’s subsidiaries
The Bank of China has a number of subsidiaries. Major subsidiaries are:
- The BOC Hong Kong component, which is listed on the Hong Kong Stock Exchange. This subsidiary is responsible for the bank’s operations in Hong Kong.
- The BOC International division is active in investment banking
- The insurances are handled by the Bank of China Insurance division.
- The bank’s own investments and third-party asset management are managed by the Bank of China Group Investment.
- The investment funds have been placed with the Bank of China Management department.
- The BOC Aviation division is the bank’s aircraft leasing company. The bank owns and manages aircraft. In 2014, the bank had 230 aircraft of its own. In addition, in that year there were 20 aircraft under their management.