The HKSAR Government announced on 2 November a series of major initiatives to foster co-development of fintech and the real economy in Hong Kong in the Hong Kong FinTech Week 2023 including launching a new integrated fund platform in Hong Kong.
HKEX outlined the main components of the fund platform, including a Communication Hub that connects different parties in the fund distribution ecosystem; a Business Platform covering functionalities such as fund order routing, subscriptions and redemptions, payments and settlements and various optional nominee services; and an Information Portal which helps the investing public with access to more information and greater transparency on fund investment options.
Hong Kong's Securities and Futures Commission (SFC) welcomed the plan to establish an integrated platform for retail fund distribution as part of the government's initiatives to foster co-development of fintech and the real economy in Hong Kong.
In a statement on 2 November, the SFC said the integrated fund platform, which will be developed and operated by the Hong Kong Exchanges and Clearing Limited (HKEX), will provide a business-to-business service model initially and will cover the front-to-back distribution life cycle and value chain for distribution of SFC-authorised funds in Hong Kong
The SFC's executive director of investment products, Christina Choi said: "The new integrated fund platform, which is expected to generate new business opportunities for the industry and to increase participation and diversification in Hong Kong's retail fund market, will reinforce Hong Kong's position as a leading international asset and wealth management centre.
"Equally important, the platform, which would facilitate fund distribution and public access to information on fund investment options, would enrich product choice and enhance product transparency for investors."
The SFC further said it acknowledged the support of industry stakeholders and industry association on this initiative and will work closely with HKEX and other related parties to bring about the implementation of the platform.
