Securities and Futures Commission (SFC)

Delivering a keynote address at the Hong Kong FinTech Week 2024 today, the #SFC’s Executive Director of Intermediaries Dr Eric Yip highlighted the SFC’s initiatives in fostering a vibrant virtual asset market in Hong Kong. These included implementing a swift licensing process for virtual asset trading platforms (VATPs), establishing an official consultative panel for all licensed VATPs, developing further regulatory building blocks for related regulation, and supporting tokenisation initiatives. Read more from the press release (https://lnkd.in/gQNbs8Ni) and the full speech (https://lnkd.in/gPCS8jJb).

On 15 October, a high-level workshop was jointly organised by the International Organization of Securities Commissions’ Asia-Pacific Regional Committee (IOSCO APRC) and the Financial Stability Board’s Regional Consultative Group for Asia (FSB RCGA). The workshop was co-chaired by #SFC CEO Julia Leung, HKMA Chief Executive Eddie Yue and Central Bank of Sri Lanka Deputy Governor A. A. M. Thassim. Senior representatives from securities regulators, central banks and finance ministries discussed financial stability implications of crypto-assets, tokenisation, and artificial intelligence. Participants found the discussions useful and supported continued collaboration between the IOSCO APRC and the FSB RCGA on any significant issues relating to financial stability.   On the following day (16 October), Ms Leung and Executive Director of Supervision of Markets Rico Leung attended a FSB RCGA meeting. Discussions focused on recent regulatory developments and financial stability implications of financial scams and fraud, assessment of global and regional vulnerabilities, and resolution and crisis preparedness.   As the IOSCO APRC Chair, we would like to thank the FSB and the RCGA co-chairs for facilitating this constructive platform to exchange views and enhance mutual understanding.  

The #SFC hosted the inaugural meeting of the Supervisory Directors’ Network of the Asia-Pacific Regional Committee of the International Organization of Securities Commissions on 14 October 2024. The meeting was chaired by Executive Director of Intermediaries Dr Eric Yip, and regulators from 12 jurisdictions shared supervisory and regulatory approaches on crypto-assets, tokenisation, and artificial intelligence (AI). Members interacted with market participants and academics who shared the latest market developments and business observations. A commercial bank also conducted a live demonstration of the use of AI.

The #SFC hosted a seminar today for more than 200 financial sector representatives as part of its ongoing engagement with the industry to discuss key challenges and opportunities in light of the evolving market dynamics. At the seminar, the SFC provided a market overview, explained latest policy initiatives and discussed recent developments related to virtual assets, the integrated funds platform and RMB fixed-income instruments. The SFC will continue its regular dialogue with the industry. See the press release: https://lnkd.in/ggvThYJt

The #SFC warns the public of the following suspicious investment products:   ▪️ “Alpha Museum” which was claimed to be the “world first museum by blockchain owned by every visitor”. Membership and tickets are both claimed to be sold as non-fungible token.   ▪️ “Asama Sanso” / “Asama Villa” which involves certain cryptocurrencies named “Asama Villa Project Token, AS” and “Yayoi Kusama project token, KY1”, and certain non-fungible tokens related to a Japanese property named “Asama Sanso”.   These products have not been authorised by the SFC for offering to the Hong Kong public. The SFC notes that information regarding the products are accessible to the Hong Kong public via their website and various social media accounts.   The public is warned to stay vigilant when making investment decisions. Refer to the alert list for more details: https://lnkd.in/gUuDceAi

To enhance Hong Kong’s appeal to overseas and Mainland funds, the #SFC will expedite the processing of applications from simple investment funds by launching the Fund Authorisation Simple Track (FASTrack) on 4 November 2024.   Under FASTrack, the SFC aims to grant fund authorisations within 15 business days after receiving complete and quality submissions from applicants. The new approach will cover simple funds from jurisdictions which have mutual recognition of funds (MRF) arrangements with the SFC.   Read the press release for a quick glance: https://lnkd.in/g2SpekGB and the circular for details: https://lnkd.in/g3aSrycX.  

In a sharing session with #FinancialLeadersProgramme (FLP) participants, #SFC CEO Ms Julia Leung shared her views on financial market developments and the SFC’s strategies and efforts to maintain Hong Kong's competitiveness as a leading international financial centre. The FLP was launched by the Hong Kong Academy of Finance (AoF) to nurture Hong Kong’s future financial leaders to sustain the long-term development of Hong Kong as an international financial centre.

To further elevate Hong Kong’s attractiveness as the leading international listing venue in the region, the #SFC and the Exchange announced today an enhanced timeframe for the New Listing application process to facilitate the listing of quality companies in Hong Kong. The enhanced application timeframe will provide greater clarity and certainty to the timeline for reviewing New Listing applications by the SFC and the Exchange. Details: https://lnkd.in/gWQmPvjR

The #SFC warns the public of a suspicious investment product involved investment in ownership of breeding gilts under a scheme operated by Naruang Integrated Farm located in the Philippines. The products have not been authorised by the SFC for offering to the Hong Kong public and are suspected to have breached the Securities and Futures Ordinance. The public is warned against investing in any non-SFC authorised investment products. As these products are not regulated by the SFC, investors have no or very limited protection and may lose all their investments. Refer to the alert list for more details: https://lnkd.in/gUuDceAi

The #SFC welcomes the Chief Executive’s appointment of Dr Kelvin Wong as the Chairman of the SFC for a three-year term from 20 October 2024. Dr Wong will succeed Mr Tim Lui, who will step down after a six-year tenure.   Mr Lui welcomes Dr Wong’s appointment, highlighting his valuable knowledge and experience in developing and regulating capital markets. Mr Lui also reflected on his six-year tenure, describing it as challenging yet memorable.   Dr Wong expressed his honour to be appointed, noting that it is a great moment for the SFC to embrace the opportunities and challenges to foster a sustainable and vibrant capital market.   CEO Ms Julia Leung thanked Mr Lui for his stewardship and welcomed Dr Wong in leading the SFC to strengthen Hong Kong’s status as an international financial centre.   See the press release: https://lnkd.in/g5iQMf4t