FCA and SFC sign MoU on UK-Hong Kong Mutual Recognition of Funds

The FCA and Securities and Futures Commission (SFC) have signed a Memorandum of Understanding (MoU) on Mutual Recognition of Funds, which will allow eligible Hong Kong public funds and UK retail funds to be distributed in each other’s market through a streamlined process.

The MoU also establishes a framework for exchange of information, regular dialogue, and regulatory cooperation in relation to the cross-border offering of eligible Hong Kong public funds and UK retail funds.

Andrew Bailey, Chief Executive of the FCA, commented that the new cooperation framework with the FCA will not only bring benefit to the asset management industries in the UK and Hong Kong, but also offer investors in both markets with more investment choices.