Luxembourg and Hong Kong regulators strike agreement on fund sales
The Luxembourg and Hong Kong financial watchdogs have signed an agreement intended to boost fund sales into each other's markets.
The Commission de Surveillance du Secteur Financier (CSSF) said on Tuesday it has agreed a Memorandum of Understanding with the Securities and Futures Commission on the mutual recognition of funds.
The regulator said this will allow eligible Hong Kong public funds and Luxembourg UCITS retail funds to be distributed into the opposite jurisdiction through a streamlined process.
"Hong Kong and Luxembourg have a long history of cooperation in the area of mutual fund distribution," said Claude Marx, director general of the CSSF.
"The new memorandum of understanding is an important step for the mutual recognition of investments funds in our respective jurisdictions, and demonstrates the excellent cooperation between our two supervisory authorities."
The MoU also establishes a framework for exchange of information, regular dialogue as well as regulatory cooperation.
The agreement was announced during a trade mission to Hong Kong and Tokyo led by Luxembourg finance minister Pierre Gramegna.
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