DFSA And Securities And Futures Commission Strengthen Regulatory Ties For Cross-Border Investment Management

The Dubai Financial Services Authority (DFSA) and the Securities and Futures Commission (SFC) of Hong Kong have formalised a Memorandum of Understanding (MoU). This agreement aims to enhance regulatory cooperation concerning collective investment scheme managers in both regions, ensuring compliance and governance.

During the 10th Belt and Road Summit in Hong Kong, the MoU was presented. The ceremony was officiated by John KC Lee, Chief Executive of Hong Kong SAR. Attendees included Dr Kelvin Wong, Chairman of the SFC, Ms Julia Leung, its CEO, and Mark Steward, DFSA’s Chief Executive. This event highlighted the importance of cross-border regulatory collaboration.

The MoU was signed by Mark Steward and Ms Julia Leung. It creates a framework for consultation, cooperation, and information exchange between the two regulators. This framework aims to improve oversight of entities involved in cross-border investment management or advisory activities.

This agreement is a result of joint efforts by the SFC and DFSA over the past year. These efforts included a high-level meeting and a roundtable co-hosted with leading asset managers in Hong Kong. Such initiatives have paved the way for this collaborative framework.

Mark Steward expressed that this MoU will enable firms to operate confidently across markets while maintaining integrity. He emphasised their shared commitment to regulatory excellence and innovation across borders. This partnership strengthens the global investment framework between Dubai and Hong Kong.

Julia Leung commented on the enhanced partnership between SFC and DFSA. She noted that it underscores their dedication to improving regional market connectivity for mutual long-term benefits. This milestone reinforces Hong Kong's key role in the China-Middle East Corridor amid global challenges.

This collaboration signifies growing ties between Hong Kong and Belt and Road jurisdictions. It highlights both regions' roles as international financial hubs, aiming for better capital mobility through strengthened regulatory frameworks.

With inputs from WAM