Brokers, investment advisers, fund managers and intermediaries carrying out the following activities:

• Dealing in securities
• Dealing in futures contracts
• Leveraged foreign exchange trading
• Advising on securities
• Advising on futures contracts
• Advising on corporate finance
• Providing automated trading services
• Securities margin financing
• Asset management
• Credit rating services
• Providing depositary services for relevant collective investment schemes

• Set licensing standards to ensure that all practitioners are fit and proper
• Approve licences and issue codes and guidelines to inform the industry about expected standards of conduct and set financial resources requirements
• Monitor licensees' financial soundness and whether they comply with the relevant ordinances, codes and guidelines
• Handle and investigate complaints against misconduct of licensees, and take action if necessary
  (To learn more, refer to Regulatory Framework for Intermediaries and Approach to Supervision of Intermediaries.)

Note: Banks that conduct securities and futures businesses are required to be registered with the SFC. The Hong Kong Monetary Authority is the frontline regulator of these activities and monitors them on a day-to-day basis.

Investment products

• Set standards for the authorisation and regulation of investment products
• Review and authorise offering documents of retail investment products to be marketed to the public in Hong Kong

Listed companies

• Oversee listing matters in Hong Kong, including vetting of listing applications and disclosure requirements for listed companies
• Directly regulate takeovers, mergers and privatisations under the Codes on Takeovers and Mergers and Share Buy-backs
• Consider requests for exemptions from prospectus requirements under the Companies Ordinance
• Carry out active surveillance of listed companies, enquiring into their suspected prejudicial or fraudulent transactions or provision of false or misleading information; and performing risk-based reviews of particular companies and broader thematic reviews of activities which may signal corporate misconduct

Hong Kong Exchanges and Clearing Limited (HKEX)

• Oversee the performance of The Stock Exchange of Hong Kong Limited's (SEHK) role as the frontline regulator of listing matters
• Approve the creation of new markets, new products and changes to listing, trading and clearing rules and regulations
• Monitor HKEX’s own compliance with the Listing Rules as a listed company
• Monitor the trading of shares, options and futures on SEHK and Hong Kong Futures Exchange Limited

Automated trading service (ATS) providers

• Grant licences or authorisations for the provision of ATS in Hong Kong
• Oversee the operations of ATS providers

Approved share registrars

• Approve the Federation of Share Registrars as an association whose members shall be approved share registrars
• Require approved share registrars to comply with the requirements of the Code of Conduct for Share Registrars

Investor Compensation Company Limited (ICC)

• Recognise ICC as an independent compensation company
• Approve ICC's rules
• Require ICC to prepare and regularly submit financial statements, auditors’ reports and other documents to the SFC

Market participants (including investors)

• Monitor unusual market movements and direct suspension of trading in specific stocks to maintain informed and orderly markets
• Investigate and take action against market misconduct and other breaches of the law