Speaking at the fourth annual conference of the Hong Kong Investment Funds Association, SFC chief executive Martin Wheatley said the measures, introduced in May, had been well-received by the industry.
“Good regulation needs to balance investor protection and market development, and implementing these regulations requires efforts from both market participants and regulators,” said Wheatley.
He went on to commend those providers who voluntarily produced Key Facts Statements – a summary of a product’s key features and risk – before the requirement of KFS became mandatory in June.
Wheatley also went on to reiterate that providers should not to lose sight of the needs of investors and to treat their customers fairly.
“To have a sustainable market, there must be a business case for both sides of the bargain,” he added.
“In that sense, a product must be ‘fair’. A product’s design and payout that is skewed in favour of one side will not stand the test of time.”
