A new Securities and Futures Bill was passed recently bringing Hong Kong in line with international practice and enhancing its role as leading fund-raising centre in the Asia-Pacific region.

Securities and Futures Commission chairman Andrew Sheng said the new law was a major step forward for the development of the SAR because it reflected the basic policy objectives to have a world-class regulatory framework for a fair, efficient and transparent market.

：Our aim is to produce a clear, user-friendly and modern law which would encourage and support the development of the market. The legislation offers greater investor protection and will strengthen Hong Kong・s competitive edge internationally.・・

The new ordinance was enacted to replace all 10 existing securities and futures ordinances written 25 years ago. It provides modern securities legislation to match the needs of the modern world. The new ordinance will also add more regulation to Internet trading, making insider dealing a criminal offence, and creates a tribunal to combat market misconduct.

Stewart Aldcroft, managing director of fund management company Investec Asset Management Asia, said the new law would help to attract more overseas fund managers to trade in Hong Kong.

：The new law will enhance the transparency of the Hong Kong stock market. This should encourage more overseas investors and fund managers to participate in the SAR market and help Hong Kong remain the leading fund management centre in Asia,・・ Mr Aldcroft said.

In another development to further enhance Hong Kong's role as the international financial hub, Hong Kong Exchanges and Clearing (HKEx) plans to extend its trading time by two hours before the end of this year.

HKEx chief executive Kwong Ki Chi said: ：The extended trading hours will not only help to boost turnover, but it will also help the exchange and the brokerage houses to provide better services to investors.・・

Mr Kwong said HKEx this year will also launch more new products, such as the Dow Jones Industrial Average Index futures, to attract more investors to trade in the local market.

The exchange will also build up alliances with other stock exchanges such as the New York Stock Exchange to make it easier for overseas investors to trade in Hong Kong.

：With China・s entry into the World Trade Organisation, there would be more mainland enterprises coming to list in Hong Kong to raise funds,・・ Mr Kwong said.