15 Jan 2019 | Press Releases
The Securities and Futures Commission (SFC) of Hong Kong and the Commission de Surveillance du Secteur Financier (CSSF) of Luxembourg have today signed a Memorandum of Understanding (MoU).
Denise Voss, Chairman of ALFI commented: “Luxembourg and Hong Kong have a long-standing tradition of cooperation. In recognition of the strength and quality of the UCITS regulatory framework, as well as the level of investor protection that it offers, many asset managers in Hong Kong have established UCITS funds which they have managed and distributed in the EU or in Asia for quite some time.
“As an open market, Hong Kong in particular has welcomed UCITS funds, subject to the SFC’s approval. In turn, Luxembourg, as the second-largest fund domicile in the world, and a premier centre for private banking and insurance business in Europe, offers an opportunity for Hong Kong asset managers who wish to enter this market.
“This MoU will prove very useful to asset managers and will help to deepen the existing bonds between the two jurisdictions.”
Marc-André Bechet, Director of Legal & Tax Affairs at ALFI added: “The MoU brings two top-tier international fund centres closer together. It sets out clear rules for those investment funds and management entities eligible under the MoU. Not only will funds benefit from a streamlined process when filing applications for approval by the local regulatory authority, it significantly reduces the timeline for approval, and provides a clear advantage in terms of time to market.”