Some licensed institutions in Hong Kong have recently begun asking certain existing mainland China investment clients to submit source-of-funds declarations, with Aug. 20 and Sept. 12 set as key deadlines, according to a BlockBeats report citing China Business Network. Clients who failed to submit by Aug. 20 could face a suspension of investment services, while those missing the Sept. 12 deadline could see those services terminated.
After checking with multiple parties, the reporter said the measures have indeed been adopted recently by some Hong Kong licensed institutions, including HSBC Hong Kong and Hong Kong branches of Chinese banks. The main targets, however, are long-inactive accounts rather than the broader mainland investor base.
An HSBC spokesperson said the bank follows relevant regulatory requirements in managing investment client relationships and is asking affected mainland investors to provide self-declarations and confirm that information previously supplied under know-your-customer, or KYC, and customer due diligence procedures remains current and valid. HSBC added that the latest declaration requirement applies only to its investment services clients.
The report also said the move is still based on a May 22 notice issued by the Hong Kong Monetary Authority in parallel with a circular from the Hong Kong Securities and Futures Commission, rather than any new policy or regulatory guidance.
Some licensed institutions in Hong Kong have recently launched source-of-funds declaration procedures for certain existing mainland China investment clients, with Aug. 20 and Sept. 12 set as key deadlines, according to a BlockBeats report published on Aug. 24.
If clients failed to submit the required materials by Aug. 20, their investment services could be suspended. If they did not submit by Sept. 12, those services could be terminated.
After checking with multiple parties, the reporter said the measures have indeed been adopted recently by some Hong Kong licensed institutions, including HSBC Hong Kong and Hong Kong branches of Chinese banks. The main targets are long-inactive accounts.
HSBC says requirement only applies to investment services clients
An HSBC spokesperson said: 「When managing investment client relationships, we follow relevant regulatory requirements. Therefore, we are inviting relevant mainland investors to provide self-declarations and confirm that the information they provided in know-your-customer (KYC) and customer due diligence processes is up to date and valid. This helps us continue providing uninterrupted services to clients. This latest declaration requirement applies only to our investment services clients.」
Move tied to May 22 notice, not new policy guidance
According to the report, the actions taken by banks in Hong Kong are still based on a notice issued by the Hong Kong Monetary Authority on May 22, released in parallel with a circular from the Hong Kong Securities and Futures Commission, rather than any separate new policy or regulatory guidance.
The report cited China Business Network as the source of the information.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
