On October 18, MSCI China A50 interconnection index futures contract was officially launched for trading. This is the first MSCI index futures with mainland a shares as constituent stocks introduced by the Hong Kong stock exchange. Observers believe that in the future, the onshore and offshore products and markets of A-share index futures will achieve coordinated development, and the attraction of China's capital market will continue to increase. In recent years, with the increasing demand for foreign investors to invest in RMB assets, the deepening degree of participation, and the continuous improvement of the breadth and depth of interconnection between the mainland and Hong Kong markets, the positive significance of timely launching A-share index futures in Hong Kong is self-evident. First, the launch of A-share index futures in Hong Kong is conducive to enriching the risk management tools for foreign investors to invest in A-shares. MSCI China A50 interconnection index futures contract covers more balanced industries, increases the proportion of new energy, medicine and other sectors, and is closer to the position structure of institutional investors such as public funds. The new A50 Index Futures is expected to help investors make more accurate investment decisions in terms of core asset allocation, risk management and optimizing the market value distribution of positions. On the other hand, institutional data show that at present, more than 90% of overseas investors participate in domestic A-share investment through interconnection. MSCI China A50 interconnection index futures contract can provide overseas investors with new tools to manage A-share portfolio risk. Secondly, the launch of A-share index futures in Hong Kong is conducive to further attracting foreign long-term funds to allocate A-shares. Compared with other offshore markets, the Hong Kong market is more closely connected with the mainland market. Investors conduct A-share index futures trading in Hong Kong to effectively hedge pricing risks, which is expected to promote more long-term funds to flow into the mainland market and enhance the international influence and competitiveness of the A-share market. At the same time, it will release the signal that China continues to promote financial reform and opening up. Third, the launch of A-share index futures in Hong Kong is conducive to consolidating Hong Kong's status as an international financial center. On the one hand, the Hong Kong capital market plays a bridgehead role in expanding the two-way opening of the mainland capital market, supporting the financing development of mainland enterprises and introducing foreign institutional investors. The launch of A-share index futures in Hong Kong is the latest action to expand the supply of international varieties of financial futures. It is also an important measure to help Hong Kong develop into a top derivatives trading center in Asia. On the other hand, the launch of A-share index futures in Hong Kong can improve the convenience of A-share risk management for foreign investors and further strengthen the status of risk management center. The online trading of A-share index futures of HKEx means that Hong Kong has taken an important step in establishing an offshore A-share derivatives series. While better meeting the needs of overseas investors, it will greatly enhance the enthusiasm of overseas institutions to enter the A-share market. It should be noted that the smooth launch of A-share index futures in Hong Kong is inseparable from cross-border regulatory cooperation. China Securities Regulatory Commission and Hong Kong Securities Regulatory Commission have refined and improved the cooperation mechanisms related to derivatives regulatory cooperation and cross-border risk prevention arrangements. By strengthening supervision and law enforcement cooperation and jointly combating cross-border violations, it will escort the smooth operation of the mainland A-share and Hong Kong stock markets. (outlook new era)