Special Administrative Region - SAR

Loading the player...

DEFINITION of 'Special Administrative Region - SAR'

Unique geographical areas with a high degree of autonomy set up by the People's Republic of China. The Special Administrative Regions (SAR) of Hong Kong and Macau, which were formerly British and Portuguese colonies until 1997 and 1999 respectively, were set up in accordance with the "one country, two systems" concept proposed by Deng Xiaoping. The two SARs enjoy a great deal of autonomy, with responsibility for most areas of government - including executive, legislative and judicial - except for defense and diplomatic relations.

BREAKING DOWN 'Special Administrative Region - SAR'

The continued prosperity of Hong Kong and Macau under China is proof of the success of the SAR concept. Despite the vast differences in social systems and ideologies between the capitalist-based system of the SARs and the socialist system of China, the entire region has managed to maintain its rapid pace of economic growth, which ranks among the fastest-growing in the world.

RELATED TERMS
  1. Macau SAR, China

    Definition of Macau SAR, China
  2. Hong Kong SAR, China

    Hong Kong is a financial and business center in China.
  3. Stock Appreciation Right - SAR

    A right, usually granted to an employee, to receive a bonus equal ...
  4. Parabolic Indicator

    A technical analysis strategy that uses a trailing stop and reverse ...
  5. Hong Kong Stock Exchange (HKG) ...

    One of the world's largest securities markets by market capitalization, ...
  6. HKD (Hong Kong Dollars)

    The currency abbreviation or currency symbol for the Hong Kong ...
Related Articles
  1. Markets

    How a Special Administrative Region Works

    A special administrative region is unique to The People’s Republic of China. These regions are created by the central government in China to allow certain areas to operate with a high degree ...
  2. Technical Indicators

    Introduction To The Parabolic SAR

    Take a closer look at this indicator, which during a trending period, is a very useful and accurate tool.
  3. Trading Systems & Software

    How To Trade In The Hong Kong Stock Exchange (ETFC, SCHW)

    The Hong Kong Stock Exchange may soon become the third-largest exchange in the world.
  4. Fundamental Analysis

    Macau: Not Your Father's Gambling Destination

    Macau has given Las Vegas casinos a run for their money, but what's behind the scenes? Here's an overview of Macau's gambling industry.
  5. Active Trading Fundamentals

    Trailing-Stop Techniques

    The important decision to exit a position must be based on more than emotion if you want to be a disciplined trader.
  6. Mutual Funds & ETFs

    The Top 3 ETFs For Investing in Hong Kong

    Discover information and analysis of three exchange traded funds that investors can use to access potential profits from investing in Hong Kong.
  7. Investing

    China's Top Trading Partners

    A slowdown in China, the largest trading nation in the world, will have significant impacts on major trading partners: the U.S., Hong Kong, and Japan.
  8. Investing News

    Hong Kong’s GDP Narrows Unexpectedly in Q1

    The GDP of Hong Kong contracted by a seasonally adjusted 0.4% in Q1 2016 as compared to the previous quarter
  9. Forex

    China's Economy: Transition to Sustainable Growth

    With economic growth slowing, the new Chinese government is recognizing the need to continue structural reforms started over 30 years ago.
  10. Entrepreneurship

    Top 6 Billionaires Living in Hong Kong

    Read about the six wealthiest men in Hong Kong, each of whom posted a $10+ billion net worth in Forbes' list of the richest people in Hong Kong.
RELATED FAQS
  1. Why did China designated certain territories as special administrative regions?

    Discover why China designated certain territories as special administrative regions and the freedoms each SAR enjoys as an ... Read Answer >>
  2. What makes China's special administrative regions (SAR) so special?

    Learn why China's special administrative regions are special and why they have many of the same characteristics of independent ... Read Answer >>
  3. What legal privileges do residents of special administrative regions (SAR) have that ...

    Citizens of SARs enjoy the autonomy of a capitalist and free society that is outside the influence of the socialist regime ... Read Answer >>
  4. How autonomous are special administrative regions?

    Read about the unique independence and governing laws concerning the two Chinese special administrative regions, or SARs: ... Read Answer >>
  5. Does China have the equivalent of other special administrative regions (SAR) outside ...

    Find out about the special administrative regions of Hong Kong and Macau and other places in China that offer tax incentives ... Read Answer >>
  6. Can a special administrative region declare autonomy?

    Learn more about the "one government, two systems" approach used by the People's Republic of China with respect to Hong Kong ... Read Answer >>
Hot Definitions
  1. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
  2. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis for the reporting of earnings and the paying of dividends.
  3. Weighted Average Cost Of Capital - WACC

    Weighted average cost of capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is ...
  4. Basis Point (BPS)

    A unit that is equal to 1/100th of 1%, and is used to denote the change in a financial instrument. The basis point is commonly ...
  5. Sharing Economy

    An economic model in which individuals are able to borrow or rent assets owned by someone else.
  6. Unlevered Beta

    A type of metric that compares the risk of an unlevered company to the risk of the market. The unlevered beta is the beta ...
Trading Center