Re: Notification about Update of Hong Kong Investor Identification Regime and Over-the-counter Securities Transactions Reporting Regime

2023-03-14 20:20 GF Securities (Hong Kong) Brokerage Limited

Annex：有關：香港證券市場實施投資者識別碼制度的通知 (TC&EN).pdf

Date: 13 March 2023
Dear Valued Customer,
Re: Notification about Update of Hong Kong Investor Identification Regime and Over-the-counter Securities Transactions Reporting Regime
Thank you for choosing GF Securities (Hong Kong) Brokerage Limited (“GFSHK”).
The Securities and Futures Commission (“SFC”) announces that an investor identification regime at trading level for the securities market in Hong Kong (“HKIDR”) will be launched on 20th March 2023 and an over-the-counter securities transaction reporting regime for shares listed on the Stock Exchange of Hong Kong (“OTCR”) will be launched on 25th September 2023.Under the HKIDR and OTCR, GFSHK is required to assign a unique Broker-to-Client Assigned Number (“BCAN”) to each of our Hong Kong securities market trading clients. Each BCAN should be mapped to the Client Identification Data (“CID”) of that particular client which includes the full name, issuing country or jurisdiction, ID type and ID number shown on client’s identity document. 
Requirement of identity documents for each type of clients
In accordance with the SFC’s guideline, GFSHK should issue a notification to the existing securities trading account holders (regardless of nationality) to inform them of the waterfall of identity documents under the HKIDR and request an identity document required under the waterfall (if not already obtained) or updated identity document information, as appropriate, to comply with the HKIDR.

The identity document type order of priority with the different type of clients for the purpose of CID of a client should be collected from the identity document that which is first mentioned in the list below save thatwhere the client does not hold such document, the next mentioned document should be used and so forth:
(i) for individual clients should be: (1) Hong Kong Identify Card (HKID); (2) national identification document; (3) passport.
(ii) for corporate client should be: (1) legal entity identifier (LEI) registration document; or (2) certificate of incorporation; or (3) certificate of business registration; or (4) other equivalent identity document; 
(iii)for a trust, the trustee’s information as in (i) or (ii) (as the case may be). However, in the case of a trust which is an investment fund, CID of the asset management company or the individual fund, as appropriate, has opened a trading account with GFSHK should be obtained; and
(iv) for clients of a joint account, the CID for all clients named for a joint account should be provided under the same BCAN assigned to that account, the identity document type order of priority should be in line with the above proposed requirements, depending on the nature of the client.
Compliance with applicable data privacy law including Personal Data (Privacy) Ordinance (PDPO)
Regarding the collection, storage, process and use of personal information in relation to the client identification data of individual clients collected by GFSHK under the HKIDR, GFSHK is required to obtain written or other forms of express consents from those individual clients in accordance with the SFC’s requirements and all applicable data privacy laws including the PDPO.
Consequent for the client is not provided the above mentioned requirements on or before implement of HKIDR and OTCR
GFSHK is required to submit the BCAN-CID mapping files of all our HK securities market trading clients in one file (i.e. “BCAN-CID Mapping File”) to SEHK. If the BCAN-CID mapping of a client has not been received by SEHK at or before the prescribed cut-off time, or such mapping information has failed the relevant validation check, the corresponding client shall not be allowed to place the buy orders in HK securities market. “T day” refer to HK securities market trading days under the current HK securities market trading calendar.
The HKIDR and OTCR will entail the collection and use of personal data by the SEHK and its subsidiaries. Upon the implementation of the HKIDR and OTCR, your authorization and written consent are required for on-going HK securities market trading service. Please provide the below application form and documents. Or else, you can only allow to place sell orders with your existing stocks holding under HK securities market.

Action should be taken
Individual/joint client:
(1) Submit the Client Consent
i. Login E-commerce through APP, PC or Web to submit “Client Consent”; or 
ii. Complete and sign the part of “Client Consent” under the attached Personal Information Collection Statement - Re: Transfer of personal data to SEHK and/or the SFC under the HKIDR and OTCR (For Individual/Joint Account)” for application; 
(2) Update of identity documents (if applicable)
i. Complete and sign the “Change of Account Details Form”; and
ii. Certified true copy of identify documents. 
For example: If an individual/joint client holds a HKID, but registered other identity documents (such as a passport or other national identity card) when opening an account or has not registered a HKID in GFSHK, please submit a HKID at the same time; If an individual/joint customer does not holds a HKID, but registered other identity documents (such as a passport) when opening an account or has not registered other national identity card in GFSHK, please submit an other national identity card at the same time.

Corporate client:
(1) Submit the application
i. Complete and sign the “HK securities market trading application form (For Corporate/ Institutional Account)” for application;
(2) Update of identity documents (if applicable)
i. Complete and sign the “Change of Account Details Form”; and
ii. Certified true copy of identify documents. 
For example: If a corporate client holds a LEI, but registered other identity documents (such as certificate of incorporation; or certificate of business registration; or other equivalent identity document) when opening an account or has not registered a LEI in GFSHK, please a LEI registration document at the same time; If a corporate client does not holds a LEI, but registered other identity documents (such as a certificate of business registration or other equivalent identity document)) when opening an account or has not registered certificate of incorporation in GFSHK, please submit a certificate of incorporation at the same time, the next mentioned document should be used and so forth.
If you have any questions, please contact our Customer Services Hotline at (852) 3719-1288 / 40086 95575 or email to seccs@gfgroup.com.hk. Thank you!

Yours faithfully,
GF Securities (Hong Kong) Brokerage Limite