Hong Kong’s SFC marks rise in license applications in quarter to end-September

Maria Nikolova

In the quarter to end-September, the regulator received 2,354 licence applications, up 15.9% from the preceding quarter.

The Hong Kong Securities and Futures Commission (SFC) has earlier today published its Quarterly Report for the three-month period until end-September 2018. The data indicate a rise in the number of license applications received by the regulator in the quarter, in both annual and quarterly terms.

As at September 30, 2018, the number of licensees and registrants reached 46,063, up 5% year-on-year, and the number of licensed corporations increased 9% to 2,844. The SFC reviewed 118 new listing applications, up 7.3% from the previous quarter.

In the quarter to end-September, the SFC received 2,354 licence applications, up 15.9% from the preceding quarter and 14.6% year-on- year. The number of corporate applications increased 13% from the last quarter to 85, up 6% year-on-year.

Source: SFC Quarterly Report.

Let’s note that, in the face of this positive numbers, the SFC has been subject to criticism over the speed of reviewing licensing applications. In October this year, the Process Review Panel (PRP) for the Securities and Futures Commission (SFC) published its annual report for 2017-18.

In 2017-18, PRP reviewed eight licensing cases. The processing time for these cases ranged from six months to 15 months.

PRP considered that the SFC Licensing Department had taken longer time than necessary to process an application. PRP suggested that the Department should review its process in light of the changing circumstances in the financial market. Also, it should streamline its workflow in order to cope with the workload arising from the growth in the number of licensees and a wider range of regulated activities carried out by the licensees.

Read this next

Executive Moves

TopFX promotes Omar Al-Janabi to head of sales and business development

Prime brokerage firm TopFX has strengthened its Middle East operations with the promotion of Omar Al-Janabi, who is taking on an expanded role as global head of sales and business development.

Retail FX

Plus500 says 2022 revenue to be ‘significantly’ ahead of analysts’ estimates

Israeli-based, but London-stock market listed Plus500 said it expects annual revenue and earnings to be ahead of analysts’ estimates even as trading levels normalised from record volumes in the first quarter.

Digital Assets

Crypto derivatives giant BitMEX launches spot market

Crypto exchange BitMEX is looking to branch out of its singular focus on crypto derivatives with a suite of new product offerings. Although derivatives are to remain at the heart of BitMEX’s business, the popular platform will add spot crypto trading as it aims to aggressively grow their user base.


PrimeXM reports mixed trading volumes for April

PrimeXM has reported weaker trading volumes for April 2022, in line with other institutional and retail platforms that saw the activity of their clients dropped compared to a month earlier.

Digital Assets

DLT Finance approved by BaFin to support brokerage and custody of digital assets

DLT Finance is already partnered with big names within the digital asset space, including Kraken, Bitstamp, B2C2, and Bittrex.

Institutional FX

LUKB taps vestr to launch actively managed products, AMCs

The partnership with vestr goes to show the growing importance of digitising the active investment management space.

Digital Assets

Jewel taps Tokeny to launch stablecoin-as-a-service solution on Polygon

Jewel aims to offer a stablecoin-as-a-service solution to other digital asset and financial institutions B2B, allowing those businesses to provide cheaper, easier and near real time payments with stablecoins issued and redeemable directly at the bank level at Jewel.

Industry News

SEC charges $410+ million Ponzi scheme with pre-IPO shares

We allege that the defendants deceived investors about the pre-IPO shares they held, how much they were charging in fees, and who was controlling the business—all while paying themselves more than $75 million.

Industry News

FNZ taps data analytics GIST to address ESG ratings bias

The allocation of capital is critical to driving the change required to transition to net-zero and building a more sustainable economy and society.