SFC Releases Q2 Report, with Licensees Totaling 48,165

The Hong Kong Securities and Futures Commission (SFC) today published its latest quarterly report which summaries key developments from April to June 2023.

Key figures for the quarter include:

• There were 48,165 licensees and registrants, including 3,245 licensed corporations. Among the licensed corporations approved during the quarter, Type 9 (asset management) regulated activity (RA) accounted for 51% and Type 4 (advising on securities) for 37%.

• The SFC processed 50 new listing applications.

• The SFC authorised 28 unit trusts and mutual funds (including 12 Hong Kong-domiciled funds) and 47 unlisted structured investment products for public offering in Hong Kong. It registered 21 new open-ended fund companies (OFC).

• It conducted in-depth inspections of 51 licensed corporations to review their compliance with regulatory requirements.                                                       

• The SFC made 1,227 requests for trading and account records triggered by untoward price and turnover movements.

• It issued section 179 directions to request information in 16 cases, as part of its ongoing review of corporate disclosures.

• Three corporations and two individuals were disciplined, which resulted in total fines of $9.2 million.

To support the development of the Fintech ecosystem in Hong Kong, the SFC launched a new licensing regime under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance for virtual asset trading platform (VATP) operators in June. Two VATPs licensed under the Securities and Futures Ordinance have obtained the SFC's approval to provide services to retail investors.