Financial Q&A

What is SFC regulation in Hong Kong?

Matthew419 Smith

1 month before

The Securities and Futures Commission (SFC) regulates forex and securities brokers in Hong Kong. Brokers must hold an SFC license, segregate client assets, and comply with strict financial reporting rules. The SFC is known for active enforcement against misconduct, regularly publishing warnings about unlicensed firms. Traders choosing SFC-regulated brokers benefit from transparency, strong oversight, and legal protections. However, leverage is restricted, and marketing is carefully regulated. Despite these limits, SFC brokers are trusted across Asia due to Hong Kong’s role as an international financial center.