According to a survey of brokers carried out by Thomson Financial, it is expected that HKEx will achieve 6.3 per cent year-on-year growth in net profit to HK$1.12 billion (US$144 million) this year, up from HK$1.05 billion last year.

"The turnover and index levels have reached their highest point in four years. We are going to see exchange profits hit another record high too," Christopher Cheung Wah-fung, chairman of Christfund Securities, was quoted by the South China Morning Post as observing.

HKEx derives almost one-third of its income from trading and settlement fees, which are paid by investors on every share transaction. The SMCP reports that daily turnover on the exchange has exceeded HK$20 billion in the past four weeks and has averaged HK$17.3 billion for the first seven months of the year it averaged, well ahead of the daily turnover record of HK$15.9 billion attained last year.

The other major source of HKEx's income is earned from listing fees, and there have been several large initial public offerings from mainland firms this year. In June, companies raised HK$50 billion in funds through IPOs from the likes of China Shenhua Energy, Bank of Communications and China Cosco Holdings, a record figure for a single month. Total funds raised on the exchange during the first half of 2005 amounted to HK115.4 billion, up 8% compared to the same period in 2005, although the number of deals dropped to 21 from 45.

Last month, it was announced that the total market capitalisation of the companies listed on the Exchange had surpassed HK$7 trillion (US$900 billion) for the first time.