Hong Kong

Fintech / Regtech

The Future of Equity Crowdfunding in Hong Kong

By Kristi Swartz | 29/08/2018

Equity crowdfunding may not have specific regulations in Hong Kong, but it is potentially subject to restrictions and barriers to entry under existing rules. Yet, there is room to work alongside regulators to develop and test new products in this market.

Securities / Derivatives

HK-China Bond Connect Enables DvP Settlement

By Editors | 27/08/2018

A key demand from international investors, a real-time delivery-versus-payment settlement system has now been implemented on the Bond Connect.

AML / KYC

HKEX Unveils Details of New Northbound Investor ID Regime

By Garima Chitkara | 27/08/2018

HKEX to launch secure file transfer protocol service for exchange participants later this month to ensure smooth transition to new investor ID regime for northbound trading, set for 17 September.

Enforcement

EY, Two Partners Fined for Audit Failures on 20-Year Old Stock Listings

By Garima Chitkara | 27/08/2018

EY and two of its partners were collectively fined HK$700,000 plus HK$1.5mn in legal costs for failing to properly audit the financial statements of three firms that went bust soon after being listed.

Enforcement

Hong Kong Forex Broker Fined for Mishandling Client Money

By Editors | 23/08/2018

HPI Forex Limited transferred client money from segregated client account to two overseas brokers, breaching the Code of Conduct and the SFC’s client money rules.

Fintech / Regtech

Virtual Banks in Hong Kong: Bringing Risks and Opportunities To Asia

By Kristi Swartz | 21/08/2018

A new era of smart banking in Hong Kong is anticipated to begin at the end of this year with the establishment of virtual banks. Competent players will embrace enormous opportunities to challenge the city’s traditional banking model.

Securities / Derivatives

Hong Kong SFC Proposes New Rules For Securities Margin Financing

By Garima Chitkara | 20/08/2018

The regulator has launched a two-month consultation around stronger risk management standards to govern securities margin financing.

AML / KYC

HKMA Reprimands, Fines Shanghai Commercial Bank for AML/CFT Failures

By Editors | 20/08/2018

The bank was fined HK$5mn for ineffective procedures for continuous monitoring of business relationships and due diligence on pre-existing customers.

Securities / Derivatives

Stock Connect ID System for Northbound Trades Slated for September Launch

By Editors | 13/08/2018

Northbound investor ID system is scheduled to be implemented on 10 September, pending market readiness and regulatory approval, and will not affect the business of existing market participants.