Circular to Intermediaries Market Rehearsals (MRs) for the Hong Kong Investor Identification Regime (HKIDR)

Reference is made to the Circular dated 2 August 2022 regarding the HKIDR.

Arrangements for Market Rehearsals

In order to assist Relevant Regulated Intermediaries^[1] (RRIs) to validate their system readiness for the implementation of the HKIDR, the SFC and the Hong Kong Exchanges and Clearing Limited (HKEX) have arranged three MRs on 15 October 2022 (MR 1), 22 October 2022 (MR 2) and 29 October 2022 (MR 3) respectively.

It is mandatory for all RRIs to participate in both MR 1 and MR 2. For RRIs which have not successfully completed MR 1 and/or MR 2, they will be required to participate in MR 3.

HKEX has published an information package on the HKIDR MRs which sets out the schedules, guidelines and rundowns for the three MRs. It is now available on the HKEX’s HKIDR web corner. RRIs should follow the instructions in the MR information package, as well as the information in the HKEX’s Circular dated 23 September 2022  to prepare for and complete the MRs.

After completion of MR 1 and MR 2, RRIs should submit the “Feedback Form for the HKIDR MR 1 and MR 2” on or before 24 October 2022 to HKEX via HKEX’s production Electronic Communication Platform (ECP) web interface. RRIs who participate in MR 3 should submit the “Feedback Form for the HKIDR MR 3” on or before 31 October 2022. The two feedback forms are now available for download from the HKEX’s HKIDR web corner.

Subject to the successful completion of the MRs and market readiness, we will announce in due course the HKIDR implementation date and a designated period during which RRIs should submit their real BCAN-CID Mapping File to HKEX. 

Access to HKEX’s production ECP web interface via the SFC WINGS platform

The SFC will launch the 2FA function on the SFC’s WINGS platform on 1 October 2022. Responsible Officers (ROs) of the relevant licensed corporations and Executive Officers (EOs) of the relevant registered institutions should use their individual WINGS username and password, together with an One-Time-Password (OTP) sent to their registered mobile phone or email, for logging on to the production ECP web interface via the SFC’s WINGS platform during the MRs.

ROs of the relevant licensed corporations and EOs of the relevant registered institutions should update their mobile phone number and email in the individual WINGS profile and ensure their mobile phone number and email are accurate before participating in the MRs. Changes made in the individual WINGS profile on the day of the MRs will not take immediate effect. Please refer to the SFC’s WINGS 2FA User Guide for instructions on how to enable the 2FA function, which will be available on 1 October 2022 on SFC’s WINGS webpage.

ROs of the relevant licensed corporations and EOs of the relevant registered institutions may also delegate the permission of submitting BCAN-CID Mapping File and Reporting Forms to licensed and non-licensed individuals via the SFC’s WINGS platform with the Corporate Account Administration function. Please refer to the Annex for instructions.

Notification of using ECP Secure File Transfer Protocol (SFTP) Interface by non-EP RRIs

For Non-EP RRIs who intend to leverage on the ECP (SFTP) interface during the MRs and after the launch of the HKIDR, after installing HKEX’s Securities and Derivatives Network (SDNet/2) production line, Non-EP RRIs should submit the “ECP User Types and Delegated Administrator Rights Application / Maintenance Form” and the “Notification of SDNet/2 circuit (for non-EP Relevant Regulated Intermediaries)” on HKEX’s production ECP web interface via the SFC’s WINGS platform as soon as possible. Please refer to HKEX’s Circular dated 23 September 2022 for further details.

Updates to HKEX’s File Transfer Connectivity Guide

HKEX has updated its HKIDR File Transfer Connectivity Guide, with a new section on business function assignment on HKEX’s Client Connect. It is now available on the HKEX’s HKIDR web corner.

Updates on the Over-the-counter Securities Transactions Reporting Regime (OTCR)

Please note that the OTCR WebApp and SFTP submission channels on the SFC’s WINGS, as mentioned in the OTCR Technical Information Paper, will be released for trial, tentatively scheduled for December 2022, after taking into account the schedule of HKIDR’s MRs. Details will be announced in due course. 

The SFC anticipates that the OTCR would be launched approximately 6 months after the HKIDR.

Securities and Futures Commission