The Securities and Futures Commission (SFC) today published the consultation conclusions concerning its proposals to extend the investor identification regime to the exchange-traded derivatives market in Hong Kong (HKIDR‑DM), following the successful implementation of a similar regime for the securities market (HKIDR-S) since March 2023.
Respondents to the SFC’s consultation generally supported the proposals, recognising their alignment with international practices, enhancement of the SFC’s surveillance ability, and reinforcement of investor protection (Note 1). The SFC intends to proceed with the regime, and targets to implement it in the second quarter of 2028, subject to completion of system testing and market rehearsals (Note 2).
The HKIDR-DM will apply to on-exchange orders for futures contracts, options contracts and stock options executed through the trading system of the Hong Kong Futures Exchange Limited (Note 3). The regime will adopt an operational model similar to that of the HKIDR-S, requiring licensed corporations and registered institutions offering brokerage services or conducting proprietary trading to submit clients’ names and identity information to a centralised data repository.
"The extension of the investor identification regime demonstrates our firm commitment to strengthening market integrity and protecting investors,” said Mr Rico Leung, Executive Director of Supervision of Markets of the SFC. “By strengthening our capability to conduct timely and effective surveillance, the HKIDR-DM will bolster the long-term resilience and sustainable development of Hong Kong’s derivatives market, further reinforcing its status as a trusted international financial centre.”
A dedicated HKIDR-DM webpage has been established to assist industry preparations and promote investor education. In the coming months, the SFC will issue further guidance and Frequently Asked Questions to facilitate market participants’ adoption of the regime and enhance their understanding.
Note:
- The SFC received nine submissions during the three-month consultation period up to 22 December 2025.
- The SFC will implement the HKIDR-DM concurrently with the Hong Kong Exchanges and Clearing Limited’s launch of Orion Derivatives Platform, enabling market participants to incorporate the HKIDR-DM functionalities as they upgrade their systems.
- The Hong Kong Futures Exchange Limited is a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited.
