The Hong Kong Securities and Futures Commission announced the facilitation of feeder ETFs, allowing investments in overseas listed ETFs under qualified conditions

Odaily News The Securities and Futures Commission (SFC) of Hong Kong issued a circular today, allowing SFC-approved exchange-traded funds (ETFs) with a feeder fund structure to invest in overseas-listed ETFs from different markets, including active ETFs, under simplified regulations if certain conditions are met. Ms. Fung-yee Choi, Executive Director of the Investment Products Department of the SFC, said that further simplifying the regulations applicable to feeder ETFs will save costs and provide flexibility for ETF issuers and broaden investors' investment options while ensuring that an appropriate level of investor protection is maintained. This move will also enhance Hong Kong's competitiveness in attracting overseas ETFs and consolidate its position as a preeminent asset management hub.