Under the new institution-based regulatory regime, MPFA will be the authority to register MPF intermediaries, to issue guidelines on compliance with statutory requirements applicable to registered MPF intermediaries, and to impose disciplinary sanctions. Monetary Authority (“MA”), Insurance Authority (“IA”) and Securities and Futures Commission (“SFC”) will be given the statutory role of frontline regulators responsible for the supervision and investigation of registered MPF intermediaries whose core business is in the banking, insurance and securities sectors respectively.
|Core Business||Relevant Frontline Regulators|
|Banking||Monetary Authority (“MA”)|
|Insurance||Insurance Authority (“IA”)|
|Securities||Securities and Futures Commission (“SFC”)|
This institution-based regulatory approach follows the arrangements under the previous administrative regime, in which MPFA has relied primarily on MA, IA and SFC as far as practicable to supervise MPF intermediaries under their respective regimes. This regulatory approach takes into account the market profile of existing MPF intermediaries who carry on MPF sales and marketing activities incidental to their main lines of business in banking, insurance and / or securities, and are regulatees of MA, IA and / or SFC, as the case may be.
Guidelines on Conduct Requirements for Registered Intermediaries
The Guidelines on Conduct Requirements for Registered Intermediaries, issued under the Mandatory Provident Fund Schemes Ordinance (“MPFSO”) (Chapter 485, Laws of Hong Kong), provides guidance in respect of the minimum standards of conduct expected of regulated persons who engage in conducting sales and marketing activities and giving advice in relation to registered schemes.
In particular, it provides guidance about the circumstances in which MPFA will be satisfied that a regulated person has, or has not, complied with a performance requirement under sections 34ZL and 34ZM for the purposes of section 34ZW of MPFSO.