Regulation is flexible and supportive, encouraging innovative products and services in a world where the old boundaries between markets and their participants are rapidly disappearing.

HKEx is committed to performing its public duty to ensure orderly and fair markets and that risks are managed prudently, consistent with the public interest and in particular, the interests of the investing public.

The comprehensive nature of HKEx in terms of market operation is matched by the proper regulatory regime, administered by the Hong Kong Securities and Futures Commission. The reputation and success of our markets will continue to depend on swift and impartial enforcement of the regulations.

The regulations are transparent, fair, flexible and supportive, and will continue to evolve to respond positively to the global development of financial markets. They are aimed at meeting the needs of both local and international investors, and at encouraging and accommodating innovative financial products and services, new types of business and changes in international practice.

Already, primary market regulation is evolving from a merit-based system towards a disclosure-based regime. Regulatory efforts are concentrated on ensuring that full and fair disclosure has been made of all material facts to enable investors to make their own properly informed decisions.