Hong Kong plans to regulate trustees, custodians of funds
[HONG KONG] Hong Kong has proposed directly regulating companies that look after assets invested in funds and trusts, its securities regulator said on Friday, as part of efforts to strengthen oversight of the asset management industry.
The move would bring Hong Kong into line with international best practice, as the financial centre aims to turn itself into a hub for asset managers, the Securities and Futures Commission (SFC) said.
Current regulatory arrangements for the sector are patchy, which the regulator said meant it had been unable to discipline trustees or custodians with deficiencies in their systems.
"The proposed regime will provide better protection for scheme assets and help safeguard the interests of retail investors," said SFC chief executive Ashley Alder in a statement.
A consultation period on the proposals will run until the end of 2019.
REUTERS
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
Chinese military drills around Taiwan have ended: state media
Businesses in DC blame the government for the district’s empty offices
The business ties that bind the US and China are strong but fraying
Canada orders dissolution of two firms, citing national security concerns
Modi’s struggling rivals to vote as India election resumes
Opposition rivals turned allies hope to unseat Modi in Delhi