Securities and Futures Commission

The Securities and Futures Commission (SFC) is an independent statutory body established in 1989 to regulate Hong Kong’s securities and futures markets. It operates under the Securities and Futures Ordinance (SFO), deriving its investigative, remedial, and disciplinary powers from this legislation.

The SFC’s primary mission is to maintain and promote the fairness, efficiency, competitiveness, transparency, and orderliness of the securities and futures industry. It plays a crucial role in protecting investors and fostering Hong Kong’s status as an international financial center.

Core functions of the Securities and Futures Commission

• Market Regulation. Setting and enforcing regulations to ensure orderly market operations.
• Licensing and Supervision. Overseeing market participants, including brokers, investment advisers, and fund managers.
• Market Oversight. Supervising operators such as exchanges, automated trading services, and clearinghouses.
• Product Authorization. Approving offering documents for investment products available to the public.
• Corporate Oversight. Monitoring corporate activities of listed companies under the Codes on Takeovers and Mergers and Share Repurchases.
• Investor Education. Educating the public on financial services, market operations, and associated risks.

Through these functions, the SFC ensures the integrity and soundness of Hong Kong’s financial markets, providing a secure environment for investors and contributing to the overall stability of the financial system.