Date
22 September 2017
SFC regulations on account opening, in place for the past 13 years, are out of step with advances in technology, according to a senior official. Photo: HKEJ
SFC regulations on account opening, in place for the past 13 years, are out of step with advances in technology, according to a senior official. Photo: HKEJ

SFC to bring account opening up to speed with technology

Hong Kong’s securities watchdog is considering loosening account opening regulations to bring them up to date with technology.

It has begun a public consultation on the proposal, the Hong Kong Economic Journal reports, citing Stephen Po, senior director of intermediaries supervision in the Securities and Futures Commission (SFC).

At present, applicants are allowed to open a securities account by proxy as long as they can prove their identity.

But signatures must be witnessed by a solicitor, a certified accountant or a justice of the peace.

Also, the SFC told market players in May that account opening by video is no longer satisfactory.

Po said the present regulations, in place for the past 13 years, are out of step with advances in technology.  

Market players have mixed reactions to the proposal.

Some say it will encourage new businesses while others fear it might create loopholes for money laundering and financial fraud.

[Chinese version中文版]

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