To date, it has been difficult for hedge funds and other foreign investors to gain direct exposure to the Chinese securities market.  The new Shanghai-Hong Kong Stock Connect program went live this week, offering foreign investors the ability to invest in certain mid- and large-cap Chinese securities through a Hong Kong broker.  A recent program presented by Dechert LLP provided a thorough overview of Stock Connect, with an emphasis on the thorny regulatory issues of beneficial ownership and custody of the securities that are traded under the new regime.  See also “China Launches Landmark Reforms Impacting Hedge Fund Capital Raising, Investments and Operations,” Hedge Fund Law Report, Vol. 5, No. 30 (Aug. 2, 2012).