The Hong Kong Securities and Futures Commission (“SFC”) and the Australian Securities and Investment Commission (“ASIC”) has signed a Co-operation Agreement (“Agreement”) which provides a framework for cooperation to support and understand financial innovation in each economy.
The Agreement, signed on 13 June 2017, builds on the close ties between ASIC and the SFC, as well as the Australia-Hong Kong trade and investment relationship.
Under the Agreement, ASIC and SFC will refer fintech businesses to each other for advice and support via ASIC's Innovation Hub and the SFC's Fintech Contact Point. The Innovation Hub and Fintech Contact Point offer regulatory assistance to innovative fintech businesses who wish to operate within these jurisdictions.
The Agreement also requires ASIC and SFC to communicate to each other on important regulatory, economic and commercial developments in each jurisdiction that could influence Australia's or Hong Kong’s regulatory approach moving forward.
The Agreement is a significant boost for Australia's growing fintech sector. If Australian fintech businesses want to operate in Hong Kong, they will have access to SFC's support mechanisms to operate within Hong Kong’s regulatory framework.
ASIC has also entered into similar referral and information sharing agreements with the United Kingdom, Singapore and Ontario.
We are experienced in providing advice to fintech businesses and understand the opportunity this agreement creates for entrepreneurs seeking to expand their target markets into other jurisdictions. If you would like further information about the Agreement and if it applies to you, please do not hesitate to contact Hillary Ray or someone in our team.