Hong Kong Brokers Welcome US Exemption
by Mary Swire, Lowtax.net, Hong Kong
30 March, 2015
Following a decision from the US Commodity Futures Trading Commission (CFTC), firms licensed by Hong Kong's Securities and Futures Commission (SFC) are now able to reach out to US customers in relation to the trading of futures or options products on Hong Kong exchanges without having to individually register as futures brokers in the US.
These foreign firms are permitted to deal directly with US customers on non-US markets without having to comply with the requirements of the US Commodity Exchange Act because they are deemed to be subject to comparable customer protection standards in their home jurisdiction.
Hong Kong's licensed corporations interested in obtaining exemption under the order are required to submit applications with the US National Futures Association through the SFC. Details of the application procedures will be announced in due course.
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