The first tranche of 2021 convertible bonds issued by China Merchants Bank with a huge investment - the first tranche of 2021 convertible corporate bonds of China Merchants Bank, referred to as Zhaolu Convertible Bonds, was issued on April 14, 2021 Listed on the Shanghai Stock Exchange. However, due to the liquidity risk of the bond, certain conditions still need to be met before it can be officially traded.

First of all, the first seven trading days after the listing of Zhaolu Convertible Bonds are in the public transfer stage, and each exchange only allows qualified investors to buy and sell through price inquiry. In other words, ordinary investors cannot directly trade in the secondary market and can only participate in normal transactions after the expiration of the public transfer period. However, during this period, qualified investors can make transfers through inquiry.

Secondly, Zhaolu convertible bonds must meet certain circulation conditions before they can officially enter the secondary market for trading. According to regulations, normal transactions can only be carried out when the issued size of the convertible bonds exceeds 5 billion yuan. Therefore, the official trading time of this Zhaolu Convertible Bond will need to wait until the issuance scale reaches a certain level before making a decision.

Finally, investors also need to pay attention to the convertible bond period of Zhaolu Convertible Bonds. According to the prospectus, the convertible period of Zhaolu Convertible Bonds is from February 24, 2023 to September 14, 2023. The maturity is short, so if you want to make a profit, you still need to convert or trade during the period of the convertible bond. After the maturity expires, the liquidity of the bond is particularly restricted.

In summary, although Zhaolu Convertible Bonds have been listed on the Shanghai Stock Exchange, they still need to meet certain conditions before they can be traded in the formal secondary market. Investors need to pay attention to the public transfer period and the conversion period of the bond to obtain maximum profits. At the same time, since this bond has high liquidity risks, investors should pay attention to risk control.