The Securities and Futures Fee (SFC) and the Hong Kong Financial Authority (HKMA) have introduced the completion of their annual updates to the listing of acknowledged monetary companies suppliers below the over-the-counter (OTC) derivatives regulatory regime, in accordance with apps.sfc.hk.
Annual Evaluation and Updates
The annual replace course of is a part of an ongoing effort to make sure that the listing of monetary companies suppliers stays present and correct. This listing is crucial for sustaining the integrity and oversight of the OTC derivatives market in Hong Kong, serving to to mitigate systemic dangers and improve market transparency.
Significance of Compliance
Monetary establishments on this listing are required to adjust to stringent regulatory requirements set forth by each the SFC and HKMA. These requirements embody sturdy threat administration practices, sufficient capital reserves, and clear reporting mechanisms. The up to date listing serves as an important reference for market individuals to determine compliant counterparties for his or her OTC derivatives transactions.
Market Implications
The updates to the listing are anticipated to have important implications for the OTC derivatives market in Hong Kong. By making certain that solely compliant and financially sturdy establishments are acknowledged, the SFC and HKMA purpose to bolster market confidence and stability. Furthermore, these updates are in step with worldwide regulatory requirements, additional aligning Hong Kong’s monetary market with international greatest practices.
Conclusion
The SFC and HKMA’s dedication to updating the listing of monetary companies suppliers below the OTC derivatives regulatory regime underscores their dedication to sustaining a clear and steady monetary market. These updates are important for safeguarding the pursuits of market individuals and making certain the general well being of the monetary system.
Picture supply: Shutterstock
