Hong Kong launches campaign to woo asset managers

* Hong Kong to hold conferences in London and New York

* Influx of hedge funds predicted

HONG KONG, Nov 8 (BestGrowthStock) – Hong Kong is to capitalise on a
regulatory crackdown on the finance sector in the U.S. and
Europe to lure more financial services firms to its shores.

The United States and Europe have both made sweeping reforms
of their financial systems following the credit crisis.

Hong Kong sees an opportunity to use these changes to its
advantage as well as its proximity to China and the offshore
yuan market.

“While other developed markets are still recovering from
financial crises, Asia is booming. With this shift in the centre
of economic gravity towards Asia and China, Hong Kong has a
unique role,” said K.C. Chan, Hong Kong’s secretary for
Financial Services and Treasury in a briefing on Monday to
launch a global campaign.

Hong Kong will hold a London conference on Nov. 16 to
promote the city as “China’s Global Financial Centre”,
underscoring its role as an offshore financial market for the
yuan, China’s domestic currency, and an asset management hub. A
similar event will take place in New York in March.

“This is an important time because so many financial firms
have to re-think their strategies,” said Martin Wheatley, chief
executive officer of the Securities and Futures Commission.

“We are seeing a significant number of fund managers seeking
to set up or expend their operations in Hong Kong. This is an
ideal time to reach out,” he added.

Wheatley disagreed that Hong Kong is offering a “regulatory
hedge”, but emphasised the stability of the city’s regulatory
regime as well as its high standards.

“Having stood the test of regional and global financial
crises, we continue to take a balanced approach in enhancing our
regulation to reflect changes in the market landscape,” said

He expects more hedge fund managers to set up operations in
Hong Kong after the implementation of European Union’s
alternative investment fund manager directive (AIMFD), which is
forcing hedge funds and private equity funds to accept more
transparency on their activities and leverage as well as curbs
on pay.[ID:nLDE69A0YI][ID:nTOE6A005Y]

Hong Kong ranks third in the World Economic Forum’s
Financial Development Index, jumping from the fifth in 2009. The
city scores 5.03 against London’s 5.06 and New York’s 5.12.
(Reporting by Daisy Ku; Editing by Jane Merriman)

Hong Kong launches campaign to woo asset managers