A financial license has always been one of the most core elements in the entry threshold for the financial industry.。Recently，The price of third-party fund sales license has increased significantly：At the same time last year, millions of dollars were still paid by few people.，It has been pushed up to 15 million yuan by the middle of this year and it is hard to find a certificate.，Subsequently, the market quotation further rose to the "guaranteed price" of 26 million to 27 million yuan.，Some market quotations even exceed 30 million yuan。
Tightening of license approval、The number of approved independent fund sales agencies decreases、private equityAccelerate layoutHong Kong marketin the context of，Fund sales license andHong Kong license number 9The value of compliance is being repriced。We start with the license plate attributes、market price、Application conditions、Personnel requirements and subsequent continuing responsibilities, etc.，Systematically sort out the key matters that enterprises must pay attention to before entering related businesses.。
Business attributes and market value of fund sales license
Fund industry related licenses，The ones that are more commonly concerned include fund payment licenses and fund sales licenses。A fund payment license is a fund sales, payment and settlement business license issued by the central bank to third-party payment companies.，Mainly used by non-financial institutions to provide monetary fund transfer services as intermediaries between payees and payees.；Fund sales institutions can choose commercial banks or payment institutions to engage in fund sales payment and settlement business.。
A fund payment license is not the same as a fund sales license。Obtain fund payment license，It only means that payment and settlement services can be provided for fund sales.；To actually carry out fund sales business，You must obtain a fund sales license。There is a clear regulatory boundary between “payment” and “sale”，Not to be lumped together。
In addition to fund company direct sales channels，In the early stage of China, the entities qualified for fund sales were mainly commercial banks.、Securities companies and other financial institutions，Among them, commercial banks have long occupied an important channel position for fund sales.。2012Since，Regulatory authorities officially open fund license applications to third-party financial institutions，Third-party institutions have thus entered the stage of competition for fund sales licenses.。
Core conditions for third-party fund sales license application
The "Measures for the Administration of Sales of Securities Investment Funds" promulgated by the China Securities Regulatory Commission in 2013 clearly states that，To apply for a fund distribution license, you must meet the following qualification requirements：
- The applicant should be a limited liability company established in accordance with the law、partnership，or other forms that comply with the provisions of the China Securities Regulatory Commission；
- Have a business scope that complies with regulations；
- Registered capital or capital contribution shall not be less than RMB 20 million，and must be paid-in monetary capital；
- Shareholders of a limited liability company or partners of a partnership must comply with the relevant management regulations.；
- No major changes have occurred that have affected or may affect the normal operation of the organization.，or litigation、Arbitration and other major matters；
- Senior managers have obtained fund practitioner qualifications，Familiar with fund sales business，And have engaged in fund business for more than 2 years，Or more than 5 years of working experience in other financial related institutions；
- There should be no less than 10 persons who have obtained fund professional qualifications。
in，The paid-in monetary capital is not less than 20 million yuan、Senior managers need to have more than 2 years of work experience in fund business or more than 5 years of work experience in other financial-related institutions.，A relatively high entry threshold has been established for applicants。But in terms of market demand、Driven by business expansion and license scarcity，Third-party institutions continue to pay more attention to fund sales licenses。
Fund sales license prices rise and approvals tighten
Market information display，Fund sales license prices have experienced multiple rounds of increases in the short term。Display of some intermediary quotations，6Monthly sales are still around 21 million yuan，7rose to 25 million yuan per month，Recently it has reached over 30 million yuan。Another market caliber shows，Most of the transaction prices last year were in the range of 2 million yuan to 3 million yuan.，Now the guaranteed market price is between 26 million and 27 million yuan，Most of them are pure shells，Does not include team and business volume。
Price increases are closely related to changes in the pace of approval。2015September 2016 to June 2016，There are 32 independent sales agencies that have obtained fund sales licenses.，On average, nearly 5 companies pass the qualification review every month；And from July to September 2016，Only 4 institutions have obtained fund sales licenses。
Judging from the situation in the first nine months of 2016，The number of independent fund sales agencies approved and issued is 9.、6Home、5Home、2Home、0Home、3Home、1Home、2home and 1 home，The overall trend is declining month by month，There are even cases where no institution is approved in a single month.。Decrease in the number of approvals passed，Bringing the value of the license stock to further attract market attention。
Mainland private equityAccelerate the fight for Hong Kong9license plate
Except for fund sales license，Hong Kong’s No. 9 license has also become a key financial license for mainland private equity institutions.。The Hong Kong market implements a financial license management system，Financial license covers 1 to 10 types of regulated activities，Among them, License No. 9 is a Type 9 regulated activity license regulated by the Hong Kong Securities and Futures Commission under the Securities and Futures Ordinance.，Right nowAsset management license。
After mainland private equity obtained Hong Kong’s No. 9 license，On the one hand, it can raise funds directly in the Hong Kong market，Attract overseas capital to invest in mainland products；on the other hand，It also helps to build an international product system，Provide overseas investment channels for mainland customers。
Shenzhen-Hong Kong Stock Connect opened、The internationalization of the mainland capital market is expected to increase，and the enhanced role of the Hong Kong market as a media and buffer platform for domestic and foreign capital.，All have pushed mainland private equity institutions to find a business foothold in Hong Kong.。current，A number of large-scale private equity funds have advanced their applications for Hong Kong No. 9 licenses.。Public information display，Chongyang Investment、Fushan Investment、Jingtai Lifeng Assets、ivy assets、About 10 established private equity firms, including Infore Capital, have obtained relevant licenses。
Cost concerns and future value of Hong Kong No. 9 license
It is difficult to apply for Hong Kong No. 9 license，Involving Hong Kong registered companies、financial condition、Reputation and character、Responsible person、internal control、Compliance system and many other rigid conditions。therefore，The professional service fees surrounding the license application have also increased with the increase in market demand.。
Private equity institutions that have obtained licenses generally exhibit two characteristics:：one，After obtaining the license, product release will be quickly organized，and make better preparations for Hong Kong market business；Second，Compliance framework during the application process、Higher requirements for staffing and subsequent operational capabilities，Businesses need to plan ahead。
Looking at the current business direction，A mainland private equity company that has obtained Hong Kong license No. 9，There are relatively limited cases of raising overseas funds to invest back in A-shares，More institutions are carrying out overseas investment-related business。This is in line with the Hong Kong market’s recognition of mainland private equity.、Product system、Investment strategies and international operation capabilities。As institutions continue to accumulate experience in the Hong Kong market，The mainland is expected to form a number of more internationally competitive private equity management institutions。
As of relevant statistical caliber，Among the 12,356 securities private equity products that have been registered with the association，A total of 3,622 private equity products can invest in Hong Kong stocks，Accounting for 31%。There are 2,401 investable Hong Kong stock private equity products issued so far this year.，Total issuance increased by 1% compared to last year，Involving 1,495 private equity managers。This shows the allocation demand and business enthusiasm of mainland private equity for the Hong Kong market.。
Analysis of the business scope of Hong Kong No. 9 license
According to Hong Kong’s Securities and Futures Ordinance，Hong Kong License No. 9 is mainly applicable to asset management activities such as providing services to manage securities or futures contract investment portfolios.。Among the well-known domestic private equity institutions，Fushan Investment、Jingtai Lifeng Assets、Bai Fang Assets、ivy assets、Tianma Assets、Infore Capital、Qiju Assets、Yifan Assets、Value Gravity and others have obtained the “No. 9 License” for asset management business.，Obtained at different times，Some were approved in the past one or two years，Some parts will be laid out earlier。
General licensing requirements for Hong Kong Securities and Futures Commission License No. 9
The Securities and Futures Commission of Hong Kong will only issue licenses to applicants who meet the "fit and proper" criteria，Applicants can include companies or individuals。The SFC will usually assess whether an applicant meets the fitness and fitness requirements from the following aspects:：
- Financial condition and solvency；
- Educational qualifications、Other qualifications and experience，and make judgments based on the nature of the functions the applicant intends to perform.；
- Whether you are competent and competent、Conduct relevant regulated activities honestly and fairly；
- Reputation、character、Reliability and financial soundness。
Licensed corporations and individuals affiliated with licensed corporations，You must also comply with other legal requirements including immigration and taxation。
Hong Kong License No. 9 Licensing Requirements for Companies
Asset management companies planning to apply for a license in Hong Kong，Must be a company incorporated in Hong Kong，Or an overseas corporation registered with the Hong Kong Companies Registry。According to the Securities and Futures Ordinance，A sole proprietorship or partnership will not be issued a license。
When the Securities and Futures Commission assesses whether a company is a fit and proper person，Will focus on the company's financial status and solvency、Qualifications and experience of company personnel，and whether the company has the ability to carry out regulated activities competently。In terms of competence，The company must demonstrate that it has an appropriate business structure、Good internal control system and qualified personnel，to ensure proper risk management，and comply with relevant rules and regulations。
A licensed asset management company must have at least two responsible officers。For the nationality of licensed individuals and responsible persons，The Securities and Futures Commission has no special restrictions or regulations。At least one responsible person within the asset management company must be a member of the board of directors；If other board members are not actively involved in or responsible for direct supervision of asset management activities，You do not necessarily need to be licensed to be the responsible person for asset management business。
also，SFC requires at least one responsible officer to be based in Hong Kong，To directly supervise related business。The responsible officer does not need to be in Hong Kong at all times，but when needed，The SFC must have immediate access to at least one responsible officer within the asset management company。Except for the responsible person，Any person who carries out asset management activities for or on behalf of a licensed asset management company，All must be licensed to serve as representatives。
Companies planning to apply for a Securities and Futures Commission license must also meet relevant capital requirements。If you hold a Type 9 regulated activity license and will not hold customer information，The company must maintain a minimum liquid capital of HK$100,000。
Ongoing compliance responsibilities after licensing
After obtaining the license，Companies must continue to maintain fit and proper qualifications，and comply with all applicable provisions of the Securities and Futures Ordinance and its subsidiary legislation，and codes and guidelines issued by the Securities and Futures Commission。
Companies are required to submit audited accounts and financial statements regularly，and within a specific time limit，Notify the Securities and Futures Commission of certain events or changes in information related to the company’s business。License approval does not mean the end of compliance work，Ongoing supervision、internal control、Risk management and information reporting are also the core of subsequent operations.。
Licensing requirements for personnel under Hong Kong License No. 9
Competency requirements of responsible personnel
When an individual applies for a license from the Securities and Futures Commission of Hong Kong，Must demonstrate that they have met relevant competency and integrity standards，able to be a fit and proper person to carry out regulated activities。Responsible personnel usually meet the following requirements：
- Academic or industry qualifications：Hold a university degree in a specified field，For example, accounting、Business Administration、economy、Finance and Legal；Or hold other degrees and pass the examination in at least two subjects in the specified areas；or hold a professional qualification，For example, Chartered Financial Analyst、Certified Financial Planner, etc.。
- Relevant industry experience：Have been engaged in related industries for at least 3 years in the past 6 years。
- Management experience：Have 2 years of management experience。
- Local Regulatory Framework Examination：Passed Paper 1 and Paper 6 of the Securities and Futures Practitioner Qualification Examination of the Hong Kong Securities Institute；For the purpose of a Type 9 regulated activity license，Volumes 1 and 6 are particularly critical。
Competency requirements for licensed representatives
Any person carrying on regulated activities，Except for those performing direct supervisory functions，All must be licensed to become licensed representatives。Licensed representatives generally need to meet the following requirements:：
- Academic or industry qualifications：Hold a university degree in a specified field，For example, accounting、Business Administration、economy、Finance and Legal；Or hold other degrees and pass the examination in at least two subjects in the specified areas；or hold a professional qualification，For example, Chartered Financial Analyst、Certified Financial Planner, etc.。
- Local Regulatory Framework Examination：Passed Paper 1 of the Securities and Futures Practitioner Qualification Examination of the Hong Kong Securities Institute。
Hong Kong No. 9 License Application Procedure and Material Planning
Before an enterprise formally applies for a license from the Securities and Futures Commission of Hong Kong，should be clear、Completely describe the overall situation of the company that intends to apply for the license，In particular, the following matters are included：
- Institutional background；
- Nature of business；
- Business scope；
- Operation mode；
- Customer object；
- Asset Management Program；
- risk management procedures；
- Compliance management procedures；
- Management team，Including responsible persons and key staff and their functions；
- Organizational structure；
- Resource allocation；
- Corporate governance arrangements。
Corporate governance should be equipped with good internal control measures and qualified personnel，to ensure proper risk management，and continue to comply with relevant rules。If the enterprise plans to establish a subsidiary outside mainland China，You should also confirm in advance whether approval from mainland regulatory authorities is required.，Avoid cross-border structural arrangements affecting the progress of license applications。
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