The Hong Kong Securities and Futures Commission is to look again at its Code on Unit Trusts and Mutual Funds.

At the Fund Forum Asia 2008, Alexa Lam, SFC executive director for policy, China and investment products and deputy chief executive, said that the review will aim to make the code more flexible, helping the Hong Kong market stay competitive in the region.

“Our retail fund platform has attracted not just local investors but also investors from the region. As mainland liquidity seeks investment products overseas and mainland managers seek skills outside the mainland border, we have the ability to become the fund supermarket in Asia, serving both the mainland and other parts of this region.

“We must therefore revamp the UT Code to make it easier for funds and talent to congregate in Hong Kong.”

Ms Lam expects the new code to contain guiding principles rather than prescriptive measures, but stressed that the fundamental investor protection tenets will remain.