Released on Monday, the Hong Kong regulator’s quarterly report revealed it had received 1,805 licence applications between April and June this year.
This compares with 1,568 licence applications received during the same period last year.
The report also revealed that the SFC plans to make legislative changes to the Securities and Futures Ordinance, which will allow it to assist regulators outside of Hong Kong, particularly where intermediaries conduct business on a cross-border basis.
“The proposals will enable the SFC to enter into international supervisory cooperation arrangements […] to allow for more effective supervision of licensed corporations which operate in multiple jurisdictions and to adhere more closely to international regulatory standards,” it said.
Through the new law, the regulator will have the power to make enquiries and obtain certain records and documents from licensed companies which can then be passed on to international regulators upon request.
Fit and proper
“As many firms now operate on a group or cross-border basis, an intermediary may be affected by events concerning their group entities,” the body said.
“The notification requirements aim to ensure that the SFC and the Hong Kong Monetary Authority stay informed and satisfied that intermediaries and their representatives remain fit and proper.”
The draft bill incorporating these proposed amendments to the SFO was introduced to the legislative council on 24 June.
In June, figures from the SFC revealed that the number of complaints made against SFC-licensed advisers had doubled in a year.
