[Webinar] Regulation of Funds Investing in Virtual Assets
In recent years investors and professional fund managers have been evaluating digital assets as a new investible asset class. The regulatory environment for virtual assets in Hong Kong has been evolving rapidly and there are risks and compliance requirements a fund manager should be aware of. This course will provide an update on the latest SFC regulations on Virtual Assets Service Providers (VASP) as well as the fundamentals of building an appropriate compliance framework.
By the end of this course, participants will:
1. Be updated with the latest SFC licensing and regulatory requirements of a VASP.
2. Be aware of the risks associated with managing a VA portfolio.
3. Acquire the basic building blocks of a VA fund management compliance framework.
4. Be familiar with the challenges of financial crime and money laundering in virtual assets.
1. Updates on Hong Kong regulations on Virtual Assets Trading Platforms (VATP) and Virtual Assets Service Providers (VASP)
- SFC Regulatory approach for VA portfolio managers and fund distributors
- Do you need a license?
2. Building an appropriate compliance framework for VA managers
- Risks associated with VA portfolios
- SFC Pro forma Terms and Conditions for Licensed Corporations which manage portfolios that invest in VA.
- Challenges observed in cryptos compliance frameworks
a. Common deficiencies
b. Skills of a cryptos compliance manager
c. Blockchain specific internal control
3. Challenges of financial crimes and money laundering with VA managers
- FSTB Consultation conclusions – Enhance AML/CTF regulation in Hong Kong through the introduction of a licensing regime for VASP
- Types of financial crimes (‘FC’) in cryptos
- AML, digital client due diligence, transaction monitoring and etc
4. Selected overseas references and case studies
- International standards
a. FATF guidelines on AML
- Notable case studies on FC and ML
Who should attend
This course is primarily targeted at fund managers and sophisticated professional investors who may be evaluating the prospects of adding virtual assets in their portfolios. It is also applicable to in-house counsel, compliance and senior management such as responsible officers, managers-in-charge, directors, CIOs and CEOs of financial institutions.
Financial Incentive Scheme of the WAM Pilot Programme
Eligible in-service practitioners of the financial services industry could apply for a reimbursement up to 80% of the course / seminar fees, or a maximum of HK$10,000 per person throughout the period of 1 October 2016 to 31 March 2023 upon satisfactory completion.
Each individual may apply for reimbursement for more than one course / seminar subject to a maximum of HK$10,000 but each course / seminar can only be reimbursed once.
The duly signed application form together with the FIVE supporting documents must be submitted within FOUR months from the last day of the course / seminar attended. Please refer to the WAM Pilot Programme website for more details.
WAM Pilot Programme Special Requirements
If you plan to apply for reimbursement under the Financial Incentive Scheme (FIS), please ensure your device/computer has the camera feature or with webcam installed as you are required to turn on your camera throughout the webinar.