Hong Kong’s three note-issuing banks, HSBC, Standard Chartered, Bank of China (Hong Kong), are among the 19 Hong Kong lenders that received the greenlight to sell investment products under the Wealth Management Connect scheme in the Greater Bay Area.
The Hong Kong Monetary Authority (HKMA) announced eligible banks in Hong Kong that can launch Cross-boundary Wealth Management Connect (WMC) services (Southbound participating banks, Northbound participating banks). These banks, together with their respective mainland partner banks whose eligibility for providing pilot Cross-boundary WMC services have been confirmed by the relevant mainland regulatory authorities, and can start providing Cross-boundary WMC services together from 19 October.
Eddie Yue, chief executive of the HKMA, said, “We will collaborate with the industry to explore enhancement measures to the scheme as and when appropriate, with a view to providing more growth opportunities for Hong Kong’s banking and wealth management industry.”
As set out in the “Implementation Arrangements for the Cross-boundary Wealth Management Connect Pilot Scheme in the Guangdong-Hong Kong-Macao Greater Bay Area” (Implementation Arrangements) promulgated by the HKMA on 10 September 2021, banks in Hong Kong that intend to embark on Cross-boundary WMC activities should put in place systems, internal control measures and complete relevant systems testing, and submit a self-assessment to the HKMA prior to the launch of such activities in accordance with the requirements in the Implementation Arrangements.
Apart from the three note-issuing banks, some of the other lenders include Citibank (Hong Kong), Hang Seng Bank, OCBC Wing Hang Bank and Nanyang Commercial Bank as well as the Hong Kong subsidiaries of the mainland’s biggest banks, such as ICBC (Asia), Agricultural Bank of China, Bank of Communications (Hong Kong) and China Construction Bank (Asia).