On 26 June 2025, the Hong Kong Monetary Authority (HKMA) and the Hong Kong Securities and Futures Commission (HK SFC) jointly issued the “Consultation Conclusions on the Annual Update to the Financial Services Providers List under the OTC Derivatives Regulatory Regime”. The updated list of Financial Services Providers (FSP List) will be implemented from 1 January 2026.
The finalised annual revisions to the Hong Kong Financial Services Providers List under the city’s over-the-counter (OTC) derivatives regulatory regime, is an important component of the statutory clearing framework under the Hong Kong Securities and Futures Ordinance (Cap. 571) and is used to designate entities with roles in the global derivatives market. The revised FSP List will be gazetted during the fourth quarter of 2025 and will come into force on 1 January 2026.
The Hong Kong Financial Services Providers List identifies entities that are subject to enhanced clearing obligations under the OTC derivatives regulatory framework. To be included in the FSP List, an entity must satisfy both of the following criteria:
- It must belong to a group of companies that appears on either:
- The list of global systemically important banks (G-SIBs) published by the Financial Stability Board, or
- The list of major dealer groups that made formal undertakings to the OTC Derivatives Supervisors Group to collaborate with central counterparties (CCPs), infrastructure providers, and global regulators to enhance the global derivatives market structure.
- It must be a clearing member of a major central counterparty (CCP) offering interest rate swap clearing services in at least one of the following jurisdictions: the United States, the European Union, Japan, or Hong Kong.
The FSP List supports the enforcement of mandatory clearing requirements under Part VIA of the Hong Kong Securities and Futures Ordinance and its accompanying rules, including the Hong Kong Securities and Futures (OTC Derivative Transactions – Clearing and Record Keeping Obligations and Designation of Central Counterparties) Rules.
The conclusions were issued following the April 2025 release of the Hong Kong Joint Consultation Paper on the Annual Update to the Financial Services Providers List under the OTC Derivatives Regulatory Regime. Feedback from market participants generally supported the proposed updates, and no material objections were raised. The HKMA and HK SFC have therefore confirmed their intention to implement the revisions without further changes.
(Source: https://www.hkma.gov.hk/eng/news-and-media/press-releases/2025/06/20250626-3/)
