The licensing regime under the securities and futures ordinance. Insider dealing under the securities and futures ordinance. This paper argues that the law should be made simpler. They were prosecuted for carrying on a business, or holding out as. Requirements for incorporation of openended fund company section 112c of ordinance 22 5. Amendments to securities and futures ordinance subdivision 1 enactment amended 2. Cap 571 securities and futures ordinance 1 chapter. The securities and futures ordinance, 2002 hong kong dollar. Financial institutions resolution ordinancechapter 628. Securities and futures ordinance amended the securities and futures ordinance cap. Jun 17, 2016 to, the securities and futures ordinance sfo to apply to investment products of a collective nature. The securities and futures ordinance, cap 571 the ordinance whereas it appears to me that market misconduct, within the meaning of sections 270 insider dealing andor 277 disclosure of false or misleading information of part xiii of the ordinance, has or may have taken. Securities and futures ordinance with subsidiary legislation sfc. Part 1 section 1 securities and futures amendment ordinance.
Hong kong sfc tightens virtual asset regulations sia partners. After briefly discussing the reasons for and against the prohibition of insider dealing, this paper outlines the legislative history of the regulatory mechanism for insider dealing in hong kong, and critically analyses the current regulatory regime. Hong kong monetary authority 55f two international finance centre 8 finance street, central hong kong supervision of markets division securities and futures commission 35f cheung kong center 2 queens road central hong kong re. The pri encourages the securities and futures commission to require institutional investors to report annually on compliance with the principles of responsible. The securities and futures ordinance sfo, which came into effect on 1 april 2003, consolidates ten existing ordinances which regulated the securities and futures market into one single ordinance and makes various amendments to securities law in hong kong generally. Disclosure of interests under the securities and futures. Division 2 securities and futures appeals tribunal. The securities and futures commission sfc administers hong kongs securities and futures legislation. Sfo refers to the securities and futures ordinance chapter 571, laws of hong kong. Persons prescribed as professional investors last updated date. Introduction on 31 may 2014, the securities and futures commission the sfc commenced its first indictable offence under section 114 of the securities and futures ordinance sfo against ipfund asset management limited ipfund and its sole director and shareholder, mr. Formation for a lawful purpose 28 last updated date 20. The sfo is administered by the securities and futures commission.
We are directing you to the hong kong elegislation hkel operated by the department of justice doj of the hong kong special administrative region government to view the full contents of the securities and futures ordinance sfo, including its subsidiary legislation disclaimer. To view the current and previous versions of the amended provisions of the securities and futures ordinance sfo, its subsidiary legislation and related ordinances, please refer to the hong kong elegislation hkel operated by the department of justice doj of the hong kong special administrative region government disclaimer. Legislative council brief securities and futures ordinance. The board of directors the board of dickson concepts international limited the. Hong kongs disclosure of interests regime is set out in part xv of the securities and futures ordinance cap.
To print the whole chapter in html, please click at the bottom of the toc panel and then click. Securities and futures commission 35f cheung kong center 2 queens road central hong kong re. Application of section 114 in relation to conduct or activities outside hong kong a405 116. Securities and futures ordinance hong kong elegislation. Overview hong kong securities and investment institute. Highlights of the sfc licencing requirements in hong kong. Reporting rules means the securities and futures otc derivative transactions reporting and record keeping obligations rules. The securities and futures ordinance guidelines for. The licensing regime under the securities and futures. Interpretation 1 section 21 of the securities and futures financial resources. Grant of temporary licences to corporations for carrying on regulated. Securities and futures ordinance gazette number version date. Amendments to securities and futures ordinance for regulation of otc derivative.
Hong kong provides for the free flow of capital, with tax advantages, currency convertibility and the free transferability of securities. Securities and futures commission sfc in hong kong. In the matter of the listed securities of sunny global holdings limited stock code 1094 notice to the market misconduct tribunal pursuant to section 252 2 and schedule 9 of the securities and futures ordinance, cap 571 the ordinance whereas it appears to me that market misconduct, within the meaning of. An ordinance to consolidate and amend the law relating to financial products, the securities and futures market and the securities and futures industry, the regulation of activities and other matters connected with financial products, the securities and futures market. Securities and futures ordinance with subsidiary legislation. Financial secretary and the stock exchange of hong kong limited. Following the securities and futures commissions introduction of virtual asset exchanges regulatory regime in november 2019, the fstb has. Hong kong january 2011 the securities and futures ordinance guidelines for dealing with an onsite investigation conducted by the sfc at a companys premises the securities and futures ordinance cap.
Section 115 application of section 114 in relation to conduct or activities outside hong kong. The sfc is responsible for fostering an orderly securities and futures markets, to protect investors and to help promote hong kong as an international financial centre and a key financial market in china. The securities and futures contracts limits and reportable. Amount in hong kong dollars includes its equivalent in any foreign currency 6 3. Securities and futures amendment ordinance 2012 contents. Hong kong securities and futures commission sfc akin gump. It embraces and modernizes the concepts of unit trust, mutual fund corporation and investment arrangements, as defined in the now repealed securities ordinance and the protection of investors ordinance pio. Market misconduct as regulated under parts xiii and xiv comprises 6 offences. The licensing and registration of persons operating in hong kongs securities and futures markets and nonbank retail leveraged foreign exchange market is dealt with in part v of the securities and futures ordinance the sfo which came into effect on 1 april 2003. Hong kong p to recommend reforms of the law relating to the securities and futures industry q to advise the financial secretary on matters relating to the. Securities and futures contracts limits and reportable posi. This stock market is defined as the main board in the rules governing the listing of securities on gem of the stock exchange of hong kong limited the gem listing rules.
Offers of investments under the securities and futures. Focus on offshore funds used by hong kong fund managers and an update on hong kong securities and futures ordinance licensing for intermediaries rising popularity of offshore funds in hong kong there are no readily available statistics for offshore funds being distributed on a private placement basis in hong kong. The securities and futures ordinance sfo which came into effect on 1 april 2003 establishes dual civil and criminal regimes under parts xiii and xiv respectively in respect of all types of market misconduct. Securities and futures openended fund companies rules. Section 41b of the securities and futures commission ordinance provides that the commission shall have the function of ensuring that the provisions of the relevant ordinances, and the. The securities and futures ordinance sfo which came into effect on 1 april 2003 establishes dual civil and criminal regimes under parts xiii and xiv respectively in respect. Short title and commencement 1 this ordinance may be cited as the securities and futures ordinance. It sets out the authorities intended approach to the regulations to be made under section 75 of the financial institutions resolution ordinance cap. The securities and futures ordinance provides for the implementation of the single licensing regime with 10 types of regulated activity ra. Market misconduct under the securities and futures ordinance. Sfc refers to the securities and futures commission. An ordinance to consolidate and amend the law relating to financial products, the securities and futures market and the securities and futures industry, the regulation of activities and other matters connected with financial products, the securities and futures.
Dec 03, 2015 limited, hong kong exchanges and clearing limited hkex and the securities and futures commission the sfc, take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever. Section 3 securities and futures commission section 4. In december 2002 the sfc had received a complaint against an account executive of taiwan securities hk ltd, which had alleged that in september 2002 this executive had had an. Unlicenced dealings under the securities and futures ordinance. A hong kong umbrella unit trust authorised under section 104. Sfc disciplinary fining guidelines securities and futures. Securities and futures ordinance contents section page part i preliminary 1. These guidelines are made under section 1991a of the securities and futures ordinance ordinance to indicate the manner in which the securities and futures commission sfc will perform its function of imposing a fine on a regulated person under section 1942 or 1962. Disclaimer for the consolidated main board listing rules. Securities on the stock exchange of hong kong limited the listing rules and the inside information provisions as defined under the listing rules under part xiva of the securities and futures ordinance cap.
The sfc is the regulator empowered by the securities and futures ordinance sfo to oversee such regulated activities. Hong kong has continued to develop as an offshore rmb fundraising center, which provides future fundraising opportunities for companies seeking to expand in mainland china. The guidance note shall come into effect on 21 december 2007. The securities and futures ordinance and the banking. Securities listed on the hong kong stock exchange at the time of the dealing in question. The stock exchange of hong kong limited and the securities and futures commission take no responsibility for the contents of this application proof, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this application proof. Consultation paper on the securities and futures otc derivatives. A report pursuant to sections 2523a, b and c of the. To view the current and previous versions of the amended provisions of the securities and futures ordinance sfo, its subsidiary legislation and related ordinances, please refer to the hong kong elegislation hkel operated by the department of justice doj of the hong kong special administrative region government. Notwithstanding the repeal of the securities and futures commission ordinance cap. Securities and futures ordinance chapter 571 pursuant to section 3991 of the securities and futures ordinance, the securities and futures commission publishes the guidance note on position limits and large open position reporting requirements in the schedule for information. Focus on offshore funds used by hong kong fund managers and.
How content is arranged in hkel is solely the remit of doj. A hong kong umbrella unit trust authorised under section. Hong kong electronic trading rules subdelegation of. The sfc may also direct an investigation be conducted to assist regulators outside hong. Securities and futures disclosure of interestssecurities. Hong kong special administrative region ordinance no. Amount in hong kong dollars includes its equivalent in any foreign currency in these rules, a reference to an amount expressed in hong kong dollars includes its equivalent in any foreign currency. Securities and futures professional investor rules cap. We are directing you to the hong kong elegislation hkel operated by the department of justice doj of the hong kong special administrative region government to view the full contents of the securities and futures ordinance sfo, including its subsidiary legislation. Please set the page orientation to landscape for printing of bilingual texts on a single page. The securities and futures commission sfc of hong kong is the independent statutory body charged with regulating the securities and futures markets in hong kong. Payment systems in hong kong carnegie mellon university.
Commencement 1 these rules, except sections 3 and 9, shall come into operation on 1 october 2006. Securities and futures ordinance gazette number version. Corporations to be licensed for carrying on regulated activities a407 117. We are directing you to the hong kong elegislation hkel operated by the department of justice doj of the hong kong special. The securities and futures ordinance and the banking hong kong. The innocent purpose defence provided by section 27 of the sfo was further clarified on 12 october 2018, when the hong kong court of final appeal cfa ruled in a fourtoone decision for the sfc in securities and futures commission v yiu hoi ying charles and others. The same conduct by a person in hong kong which affects securities or, in the case of paragraph 2, securities or futures contracts traded on an overseas market will also constitute price rigging if such conduct is unlawful in the country in which the relevant market is situated. Section 10 amended delegation and subdelegation of. Commencement these rules come into operation on 15 january 2016.
854 1333 1416 1297 204 927 625 1135 606 850 341 1742 137 1253 697 1644 478 1007 717 946 1750 73 634 601 553 1724 1349