Hong Kong SFC to Require Fund Managers to Include Climate into Investment & Risk Management Process, Starts from August 2022
26th August 2021 | Hong Kong
Hong Kong Securities and Futures Commission (SFC) will be requiring fund managers (collective investment schemes) to include climate-related risks into consideration in their investment and risk management processes and make appropriate disclosures starting from 20th of August 2022. On 20th August 2021, Hong Kong SFC issued amendments to the Fund Manager Code of Conduct and a circular setting out expected standards for fund managers after a consultation on new proposed climate-related policies. The SFC had received wide support from the industry for financial regulators to play a role in setting baseline requirements for managing climate-related risks and combating greenwashing, and in reference to Hong Kong Task Force on Climate-related Financial Disclosures Recommendations and global regulatory trend towards harmonisation and comparability of standards across jurisdictions. View: Consultation | Circular
“ Hong Kong SFC to Require Fund Managers to Include Climate into Investment & Risk Management Process “
Hong Kong SFC Deputy Chief Executive Officer and Executive Director of Intermediaries Julia Leung:
“Asset managers play a key role in providing investors with quality and comparable information about climate-related risks. The requirements will help channel investment capital to companies with sustainable goals and facilitate the transition to a low carbon economy.”
View: Consultation Conclusions on the Management and Disclosure of Climate-related Risks by Fund Managers
View: Circular
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About Securities and Futures Commission (HK)
The Securities and Futures Commission (SFC) is an independent statutory body set up in 1989 to regulate Hong Kong’s securities and futures markets.
We derive our investigative, remedial and disciplinary powers from the Securities and Futures Ordinance (SFO) and subsidiary legislation. Operationally independent of the Government of the Hong Kong Special Administrative Region, we are funded mainly by transaction levies and licensing fees.
Visit: Hong Kong Securities and Futures Commission
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