Asia Financial Regulatory Update - October 2025
Hong Kong SAR
Fintech
SFC and HKMA update VA joint circular: The Securities and Futures Commission (SFC) and the Hong Kong Monetary Authority (HKMA) have issued a circular that supplements their joint circular on virtual asset-related activities. The update reflects the revised regulatory expectations in several areas, including staking and the execution of trades conducted through the off-platforms of SFC-licensed virtual asset trading platforms.
Derivatives
HKIDR for exchange traded derivatives: The SFC has launched a consultation on proposals to implement an investor identification regime at the trading level for Hong Kong’s exchange-traded derivatives market. The investor identification regime for the securities market was implemented in March 2023.
Conduct of business
SFC and HKMA thematic review: The SFC and the HKMA have announced they will be conducting another review of the distribution of non-exchange traded investment products, following the publication of the results of their Joint Survey on the Sale of Non-exchange Traded Investment Products for 2024, which was published early in September.
Banking
HKMA and IA on naming insurance products: The HKMA and the Insurance Authority (IA) have published a circular setting out supervisory expectations on the naming of insurance savings products.
RMB liquidity and business facilities: The HKMA has announced enhancements to the RMB Liquidity Facility and the RMB Business Facility (replacing the RMB Trade Financing Liquidity Facility).
HKMA examples of good practice for supporting green transition: The HKMA has published examples of practical tools that Authorized Institutions (AIs) may adopt to support the green transformation of their corporate clients, under the overarching principle of prudent risk management. By issuing this guidance, the HKMA aims to help AIs enhance their risk management capabilities.
HKMA updates SPM module SB-1: The HKMA has updated the Supervisory Policy Manual module “Supervision of Regulated Activities of SFC-Registered Authorized Institutions” to extend the engagement period for visiting professionals to conduct regulated activities under the Securities and Futures Ordinance from 30 days to 45 days each year, and to reflect the introduction of the Type 13 licensed activity.
International collaborations
Hong Kong and UAE MoU: The SFC and the United Arab Emirates Securities and Commodities Authority have signed a memorandum of understanding in relation to the mutual recognition of investment funds and investment management companies.
Singapore
Conduct of business
MAS promotes responsible online financial content: The Monetary Authority of Singapore (MAS) has introduced two main initiatives to promote responsible online financial content advertising: a Guide on Responsible Financial Content Creation (published in collaboration with the Advertising Standards Authority of Singapore (ASAS)) and Guidelines on Standards of Conduct for Digital Advertising Activities for financial institutions [FSG-03]. Read more on our blog post.
Updated Guidelines on licensing and conduct of business for fund management companies: MAS has updated the Guidelines on Licensing and Conduct of Business for Fund Management Companies to reflect a few key clarifications, including on staffing and personnel requirements. Read more on our blog post.
Cybersecurity and anti-scam
Information paper on cyber risks associated with deepfakes: MAS has published an information paper on the key risks of deepfakes to the financial sector, recent incidents involving these threats, and possible mitigating measures which FIs could take to address the risks. Read more on our blog post.
Proof-of-concept sandbox for quantum-safe communications within financial sector: MAS, in collaboration with DBS, HSBC, OCBC, UOB, SPTel and SpeQtral, has successfully completed a proof-of-concept sandbox to evaluate the use of Quantum Key Distribution (QKD) for secure communications in the financial sector. QKD is a secure communication method for exchanging cryptographic keys only known between shared parties.
Joint press release on restricting access to facilities for scam mules: The Singapore Police Force, MAS, Infocomm Media Development Authority and Government Technology Agency of Singapore are working with industry partners to implement new measures against scam mules.
International collaborations
MAS and HKMA enhance cooperation on banking supervision: MAS and HKMA have announced the exchange of a Memorandum of Understanding (MoU) on banking supervisory cooperation.
MAS and CSRC hold 9th roundtable to strengthen market connectivity: MAS and the China Securities Regulatory Commission (CSRC) held their 9th annual MAS-CSRC Supervisory Roundtable, where participants exchanged views on capital market developments and explored opportunities for deeper connectivity.
MAS enforcement actions
Regulatory action on recruitment processes: MAS has issued a composition fine of $93,750 against Singlife Financial Advisers Pte. Ltd. (formally Aviva Financial Advisers Pte Ltd) for failing to implement effective policies relating to the recruitment of representatives, leading to inadequate supervision and training of representatives. MAS also issued prohibition orders or reprimands to eight individuals for breaches of financial adviser rules.
Prohibition order against former representative for misselling insurance products to vulnerable client: MAS has issued a three-year prohibition order against a former appointed representative under the Financial Services and Markets Act 2022 for misselling insurance products to a vulnerable client with intellectual disability.
Reprimand Against former Credit Suisse relationship manager for failure to conduct proper customer due diligence: MAS has issued a reprimand to a former relationship manager of Credit Suisse Singapore Branch for her failure to conduct proper due diligence in respect of several persons of interest.
