SFC Releases 1998-99 Annual Report-Making the Markets Work Better

14 Jul 1999



 

The Securities and Futures Commission's tenth annual report, for the year ended 31 March 1999, was tabled in the Legislative Council today.

"The challenge of regulatory authorities in a global market is to design the regulatory and structural framework which will allow the market to function efficiently, competitively and in a fair and level-playing field environment within a global context, ensuring at the same time that the market is not subject to highly concentrated or destabilising forces that would disrupt its functioning," said Andrew L T Sheng, the Chairman of SFC.

During the year, the SFC assisted the Government in the implementation of the securities and futures markets reform. The three-pronged reform comprises the following:

  • Modernising the securities legislation through the composite Securities and Futures Bill;
  • Enhancing the financial technology infrastructure of the securities and futures industry, through the establishment of a Steering Committee on the Enhancement of Financial Infrastructure to study a single clearing arrangement for securities, stock options and futures, and to facilitate straight through processing and scripless trading, clearing and settlement in Hong Kong; and
  • Demutualisation and merger of the stock and futures exchanges and related clearing houses, and eventually the listing of the Hong Kong Exchange and Clearing Limited.

The annual report is adorned with a new SFC logo which symbolises transparency, solidity and fairness. It embodies the desire to deliver the best quality regulatory service and to meet the highest level of transparency and public accountability for the Commission's work.

Looking forward, the Chairman said, "Once the reform programme and the new legislation is in place, one of the highest priorities of the Commission will be the strengthening of its public education programme, both for the investors as well as the industry.

"Through better quality service, we believe we can help make the markets work better."

The SFC Annual Report 1998-99 is available for sale at $100 for a set (Chinese and English versions) at the SFC's office.

Note to Editor: Copies of the Annual Report 1998-99 are being posted to you. They are also available to the media at the SFC's office.




Page last updated 14 Jul 1999