Regulated Activity 11

The Securities and Futures Commission in Hong Kong is expected to implement a new licensing regime for over-the-counter derivative dealing, known as regulated activity 11 (RA11). Although an implementation date has not been confirmed, affected firms should start to prepare now to ensure they are compliant when the new requirements are introduced.

This flyer summarises the expected requirements under RA11 in areas including capital, reporting and record-keeping, and margin. It also shares insights on the areas that are likely to be the regulator’s focus when assessing licence applications.