Global Trustee and Fiduciary Services Bite-Sized Issue 1 2025

13 QUICK LINKS AIFMD CRYPTOASSETS EMIR FINTECH MIFID II/MIFIR MMF NBFI OPERATIONAL RESILIENCE SUSTAINABLE FINANCE/ESG ASIA IRELAND LUXEMBOURG NETHERLANDS NORTH AMERICA UNITED KINGDOM Global Trustee and Fiduciary Services Bite-Sized | Issue 1 | 2025 The Government says that the roadmap also elaborates on Hong Kong’s blueprint to develop a comprehensive ecosystem to support sustainability disclosures, which encompasses sustainability assurance, data and technology, as well as skills and competencies. Key steps to be taken include: • Sustainability assurance: The Accounting and Financial Reporting Council (AFRC) will work with relevant financial regulators and stakeholders to drive the development of Hong Kong’s regulatory regime for sustainability assurance and promote high-quality assurance by adopting international standards. • Data and technology: The Green and Sustainable Finance Cross-Agency Steering Group members will continue their efforts in facilitating better sustainability disclosures and enhancing quality of data through a multipronged approach, including promoting the development of green fintech, rolling out free data tools, and expanding the Hong Kong Taxonomy for Sustainable Finance. • Skills and competencies: The Steering Group members and the HKICPA will continue to promote alignment with the ISSB Standards and support capacity building efforts locally, regionally and internationally. Link to Roadmap here MAS Publishes Information Paper on Good Disclosure Practices for Retail ESG Funds On 4 December 2024, the Monetary Authority of Singapore (MAS) published an Information Paper which MAS says sets out good disclosure practices that ESG Funds may adopt in their adherence with Circular No. CFC 02/2022: Disclosure and Reporting Guidelines for Retail ESG Funds. MAS says that in sharing such good disclosure practices, this information paper “aims to promote clear disclosures which are capable of being substantiated to facilitate investors’ understanding of the key features and risks of an ESG Fund and mitigate greenwashing risks. Examples have been included to illustrate the good disclosure practices where relevant and should not be taken as prescriptive.” Good Disclosure Practices identified in the information paper include for investment focus and strategy, reference benchmark, risks, and additional information. Link to MASWebsite here ASIA Mainland-Hong Kong Mutual Recognition of Funds enhancements to take effect on 1 January 2025 The Securities and Futures Commission (SFC) welcomed the publication of the revised Provisions on the Administration of Recognised Hong Kong Funds by the China Securities Regulatory Commission (CSRC) on 20 December 2024, and the revised operating guidelines jointly by the People’s Bank of China and the State Administration of Foreign Exchange, for the purpose of implementing the enhancements to the Mutual Recognition of Funds (MRF) scheme. The SFC also published a revised Circular on Mutual Recognition of Funds between the Mainland and Hong Kong on the same day. The SFC says that enhancement to the MRF scheme is one of the five measures on capital market cooperation with Hong Kong announced by the CSRC on 19 April 2024. For Hong Kong funds approved by the CSRC for public offering in Mainland (Hong Kong MRF Funds), the relaxation of the sales limit will increase their maximum potential sales value on the Mainland by three times. Also, the relaxation of overseas delegation restriction will provide more opportunities for international asset managers to leverage their expertise and extensive knowledge of global markets to offer more offshore solutions and products to Mainland investors. The MRF enhancements took effect from 1 January 2025. Link to Press Release here