Type 9 licensed corporations (LCs) with investment management discretion in respect of collective investment schemes (funds) will soon be required to comply with the Securities and Futures Commission’s (SFC’s) new climate-related risks requirements. The SFC has adopted a two-tier approach, whereby all in-scope LCs must comply with the baseline requirements. In-scope LCs that qualify as large fund managers (i.e. LCs with funds under discretionary management equal to or in excess of HK$8 billion) are required to comply with enhanced standards in addition to the baseline requirements.
Large fund managers have until 20 August 2022 to comply with the baseline requirements and 20 November 2022 to comply with the enhanced standards. Other in-scope LCs must comply with the baseline requirements by 20 November 2022.
We have linked below the key SFC materials plus two bulletins by Deacons which describe the regime and the steps that LCs should be taking towards compliance.
Key materials:
