The proposed regulatory regime for MPF intermediaries is modelled on the existing administrative arrangements, with modifications and enhancement as appropriate. The proposed legislation sets out broad conduct standards with which MPF intermediaries are obliged to comply. There will be requirements on competence and integrity. In addition, principal intermediaries i.e., at the entity level will be required to have a responsible officer available to supervise the conduct of regulated MPF sales and marketing activities carried out by sponsored intermediaries i.e., at the individual salesperson level.
Principal intermediaries will also be required to establish and maintain proper controls and procedures for compliance with the legislation by themselves and by any sponsored intermediaries, to provide their responsible officer with sufficient resources and support to effectively supervise regulated MPF sales and marketing activities, and to be responsible for ensuring the maintenance of appropriate standards of conduct and adherence to proper procedures by their sponsored intermediaries.
As there may be a substantial increase in the number of elections by scheme members for the transfer of benefits among MPF schemes and with the aim of ensuring the accuracy of transfers, shortening the processing time and minimising the costs associated with transfers, the Mandatory Provident Fund Schemes Authority proposes to establish and operate an electronic transfer system (i.e., an e-platform) to facilitate the processing of scheme member elections by trustees.
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Duncan Abate ( )
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