FSDC Industry Exchange Series – Boosting Market Liquidity and Diversity: Enhancing Hong Kong’s Competitiveness as an International Capital Formation Centre
As an international financial centre, Hong Kong is renowned for its significant fundraising capabilities. Its vibrant financial ecosystem and liquid securities market provide businesses with access to a vast capital pool. As of July 2023, there were over 2,600 listed companies on the Hong Kong Stock Exchange with a total market capitalisation of approximately HK$36 trillion.1
Nonetheless, to maintain its prominence in the dynamic global financial landscape, Hong Kong must adapt to financial innovations and shifting investor preferences. New financing options for small-sized/ mid-cap companies and the surge in popularity of alternative investment opportunities, such as SPACs, virtual assets, and private equity, pose novel risks and opportunities. As a leading financial centre, Hong Kong is strategically positioned to cultivate a resilient and inclusive financial ecosystem, encouraging the growth of non-traditional assets while catering to the diversified financing needs of a broad spectrum of enterprises. Key to this is ensuring market liquidity, diversity and an effective market structure to promote sustainable market development.
In this context, Hong Kong needs to regularly assess its listing and regulatory frameworks to ensure they remain responsive to the evolving needs of diverse investor groups. The report proposes the establishment of a professional investor-only market in Hong Kong as a primary objective. This would facilitate the trading of emerging investment products and alternative asset classes, alongside contemplating other enhancements for the public capital market in the short-to-medium term. Such a comprehensive strategy asserts Hong Kong's commitment to upholding its significant role in global finance.
You are cordially invited to join our Industry Exchange Series webinar, where we will delve into the report findings. Our distinguished speakers will share unique insights and highlight potential initiatives geared towards enhancing market liquidity and diversifying product offerings in Hong Kong. Their insights aim to reinforce the city's standing as a preeminent global hub for capital formation.
Panellists:
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Mr Edward Au, Southern Region Managing Partner, Deloitte China (See Bio)
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Ms Lisa Chung, Partner, Slaughter and May (See Bio)
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Ms Angelina Kwan, Managing Director, Stratford Finance Limited (See Bio)
- Dr King Au, Executive Director, FSDC (See bio)
Moderator:
- Dr Rocky Tung, Director & Head of Policy Research, FSDC(See bio)
Language:
English
Supporting Organisations:
- Asia Securities Industry & Financial Markets Association
- Asia-Pacific Structured Finance Association Limited
- CFA Society Hong Kong
- Chinese Asset Management Association of Hong Kong
- Chinese Financial Association of Hong Kong
- Hong Kong Investment Funds Association
- Hong Kong Investor Relations Association
- Hong Kong Securities and Investment Institute
- Institute of Financial Technologists of Asia
- The Alternative Investment Management Association
- The Institute of Financial Planners of Hong Kong
Click here to download the presentation slides.
Click here to download the research report.