(Yicai Global) Oct. 10 -- The Securities & Futures Commission (SFC) of Hong Kong and China Securities Regulatory Commission are cooperating on a new supervision system and are expected to introduce real-name registration for the Shanghai- and Shenzhen-Hong Kong Stock Connect programs next year, Cailian Press reported today.

The new system will be implemented for Hong Kong investors who trade in the mainland first, said Ashley Alder, chairman of the SFC. Later, hopefully, it will be extended to mainland investors looking to trade stocks in Hong Kong, he added.

On Sept. 30, the CSRC released interconnectivity rules for mainland and Hong Kong stock markets. Both parties will actively advance the establishment of an investor identification mechanism to enhance market supervision and cooperation with law enforcement, and ensure steady market operations in the mainland and Hong Kong.

The UK's Financial Times also reported on Oct. 6 that Hong Kong regulators were planning to implement an identity certification system for investors looking to buy mainland stocks, and that relevant rules may be implemented in early 2018.

The Shanghai-Hong Kong Stock Connect officially entered operation in November 2014, with the Shenzhen-Hong Kong program following in Dec. 2016. They are the official channels for mainland investors to trade stocks on the Hong Kong exchange and for Hong Kong investors to trade on the mainland.