The Hong Kong Securities and Futures Commission (SFC) has released its long awaited FAQs regarding its 31 October 2019 circular on the use of external electronic data storage providers (EDSP Circular). While there are some aspects of the FAQs which we anticipate will create practical challenges and will require some careful analysis to implement, we generally consider the FAQs to be a significant step forward and to provide much needed flexibility for the industry. Continue reading
Tag: Securities and Futures Commission
A step towards increased AML/CTF enforcement? Hong Kong SFC consults on enhancements to AML/CTF guidelines
On 18 September 2020, the Hong Kong Securities and Futures Commission (SFC) commenced a three month consultation on a wide range of proposed changes to its Guideline on Anti-Money Laundering and Counter-Financing of Terrorism (For Licensed Corporations) (Guideline) and the Prevention of Money Laundering and Terrorist Financing Guideline issued by the SFC for Associated Entities (AE Guideline). Continue reading
Hong Kong Stock Exchange revises Listing Rules to tighten restrictions on backdoor listings
The Hong Kong Stock Exchange has finalised its proposed amendments to the Listing Rules to tighten restrictions on backdoor listings and continuing listing criteria. The changes are aimed at combatting listed company shell activities which have been the subject of ongoing regulatory scrutiny in recent years. Continue reading
HONG KONG SFC ISSUES DISCLOSURE REQUIREMENTS FOR DISCRETIONARY ACCOUNTS
On 23 May 2018, the Securities and Futures Commission (SFC) published its consultation conclusions on disclosure requirements for discretionary accounts (Consultation Conclusions). They consist of amendments to the Code of Conduct for Persons Licensed by or Registered with the Securities and Futures Commission (Code). Continue reading
SFC ISSUES GUIDANCE ON BEST EXECUTION FOLLOWING THEMATIC REVIEW
On 30 January 2018, the Securities and Futures Commission (SFC) issued a circular to set out its guidance on the standards expected of licensed corporations on best execution (Circular). The SFC also provided further detailed guidance in its Report on the Thematic Review of Best Execution (Report). Continue reading
New regulatory trial grounds for FinTech firms in Hong Kong – Regulators announce additional FinTech sandboxes
Last Friday (29 September 2017), Hong Kong financial regulators announced new initiatives aimed at fintech firms, including several new regulatory sandboxes:
- The Hong Kong Monetary Authority announced plans to launch Fintech Supervisory Sandbox 2.0, an enhanced sandbox that follows on the heels of its Fintech Supervisory Sandbox launched a year ago (further details of which are set out in our e-bulletin here);
- The Securities and Futures Commission (SFC) announced the launch of a Fintech Regulatory Sandbox and issued further clarification on the meaning of “relevant experience” for responsible officers at fintech firms (see the SFC’s press release here); and
- The Insurance Authority announced two pilot initiatives – the Insurtech Sandbox and Fast Track.