Investor Presentaiton
Licensing Requirements for Hedge Funds and Private
Equity Firms in Hong Kong
• 2. Advising on securities (Type 4)
•
。 Licensing exemption - "Intra-group" exception
。 The exception is available if advice on securities is provided by the Hong Kong company to:
any of its wholly-owned subsidiaries
a holding company which wholly owns the Hong Kong company; or
➤ wholly-owned subsidiaries of its holding company.
。 The recipient of the advice, recommendation, or research should assess the advice, recommendation, or
research and has the discretion to reject it before issuing the material to its own clients in its own name. In
other words, the recipients must assess the advice, and not merely rubber-stamp it.
3. Asset management (Type 9)
○ Type 9 license is required for managing a portfolio of securities or futures contracts on a discretionary basis
。 Incidental exemption (i.e., you may market funds under your management or sub-management without a
Type 1 license)
Morgan Lewis
8View entire presentation