Hong Kong Proposes to Enhance Investor Protection

October 13, 2009
In a Consultation Paper issued on 25 September 2009, the Hong Kong Securities and Futures Commission (“SFC”) announced landmark proposals to overhaul the existing regulatory framework for unlisted investment products in a bid to further safeguard investor interests. The proposed reforms impact all stages of the investment process from an investor’s perspective, from the pre-sale stage, through the sale stage, to post-sale arrangements. This update discusses key aspects of the Consultation Paper as well as its implications for product issuers and intermediaries operating in Hong Kong.