THE Hong Kong Monetary Authority and the Securities and Futures Commission (SFC) have signed a memorandum of understanding aimed at strengthening co-operation between the two bodies.
The memorandum allows both authorities to co-ordinate supervision of financial institutions where they both have an interest.
The two bodies said they would seek to ensure there were no gaps in regulation and no unnecessary duplication of supervision.
'The trend for financial institutions and groups to broaden the range of their business activities has increased the need for the various financial regulators to work closely together,' said Monetary Authority chief executive Joseph Yam Chi-kwong.
SFC chairman Anthony Neoh said the memorandum would help the two bodies to work even more closely together to improve investor protection and to preserve market integrity.
The banking and deposit-taking business of authorised institutions is governed by the Banking Ordinance and regulated by the authority.
The SFC and related ordinances govern securities dealing and the giving of investment advice.
