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Capital Markets of Philippines vs. Hong Kong

In: Business and Management

Submitted By gregscorporal
Words 13954
Pages 56
I. Overview of the Hong Kong Capital Market

Located in the heart of Asia, Hong Kong positioned itself to be a major international financial center of the continent. Its capital market is comprised of integrated network of institutions and markets which provide a wide range of products and services to local and international customers and investors. Hong Kong’s financial markets are characterized by a high degree of liquidity and operate under effective and transparent regulations, which meet international standards.
The Government of the Hong Kong Special Administrative Region (HKSAR) abides by the principle of keeping intervention into the way in which the market operates to a minimum and has endeavoured to provide a favorable environment in which business operates. Its policy of low and simple taxation allows maximum room for business initiatives and innovation. There is a strong emphasis on the rule of law and fair market. There are no barriers of access to the market by foreign businesses and no restrictions on capital flows into and out of Hong Kong.
Hong Kong’s privileged location in the Northeast Asia, on the other hand, makes it a gateway to China. Moreover, Hong Kong is situated at appropriate time zones that allow 24-hour continuous trading of foreign exchange and gold when the two markets in New York and London are closed.

II. Financial Players and Intermediaries in Hong Kong
Preview:A closer look at the financial markets

As of July 2010, there were 146 licensed banks, 22 restricted licence banks, and 27 deposit-taking companies in Hong Kong, together with 70 local representative offices of overseas banking institutions. These institutions come from 34 countries and include 70 out of the world’s largest 100 banks. Together they operated a comprehensive network of about 1,390 local branches, excluding their principal place of business in...

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