Survey reveals record investment product sales to $6 trillion – up 40pc

Sales of non-exchange-traded investment products in Hong Kong surged to a record HK$6.07 trillion last year, up 40 percent from a year earlier, according to a joint survey by the Securities and Futures Commission and the Hong Kong Monetary Authority.

Market participation also witnessed a growth last year. The number of firms engaged in the sale of investment products grew by 9 percent to a new high of 414, with a 46 percent more than doubling their sales year-on-year. Large firms saw a 12 percent increase to 101, while the manpower deployed to distribute investment products increased 4 percent to a record of over 19,000. 

All major product categories posted strong growth. Sales of authorized collective investment schemes nearly doubled to HK$1.4 trillion, while those of unauthorized funds rose 50 percent to HK$844 billion. Sales of structured products and debt securities increased by 30 percent and 29 percent year-on-year, respectively. 

"The surge in product sales underscores the dedication of firms and the trust investors place in our financial markets," said the executive director of intermediaries of the SFC, Eric Yip Chee-hang. 

The market watchdog pledged to foster a robust regulatory framework that enables businesses to grow while protecting investor interests, Yip said.

The survey result enables regulators to better co-ordinate and implement the supervisory activities in light of market developments, thus according protection to investors, said the executive director (Banking Conduct) of the HKMA, Alan Au Yuk-lun.

STAFF REPORTER