Hong Kong Investor Identification Regime (HKIDR) and Over-the-counter Securities Transaction Reporting Regime (OTCR)

About HKIDR and OTCR

The Securities and Futures Commission (SFC) has introduced an investor identification regime (HKIDR) at trading level for the securities market in Hong Kong and an over-the-counter securities transaction reporting regime (OTCR) for shares listed on The Stock Exchange of Hong Kong (SEHK). HKIDR and OTCR will be implemented tentatively in the second half of 2022 and the first half of 2023 respectively, subject to SFC and SEHK’s further announcement.

Under HKIDR, we will have to assign a Broker-Client Assigned Number (BCAN) to each of our securities customer/ joint account (as the case may be) and tag the BCAN to our clients’ securities orders. We will also have to submit to SEHK’s data repository the client identification data (CID) (i.e., names and identity document information) of clients placing securities orders on SEHK or who conduct off-exchange trades reportable to SEHK. This will allow relevant regulators to quickly obtain information about investors who place orders and enhance relevant regulators’ market surveillance function.

Separately, information about OTC securities transactions in ordinary shares and real estate investment trusts listed on SEHK as well as deposits and withdrawals of physical share certificates will be reported to SFC under OTCR.

What you need to prepare?

For complying with the rules and requirements of SEHK and SFC and Personal Data (Privacy) Ordinance in effect from time to time, we are required to obtain express consent from you on the collection, storage, processing, use, disclosure and transfer of your personal data (including disclosing and transferring your CID and BCAN, which are identifiers under respective regimes, namely HKIDR and OTCR, to SEHK and/or SFC). Otherwise, we will not be able to carry out your trading instructions or provide services to you in relation to securities listed or traded on SEHK (e.g. If the client consent cannot be obtained from you, under HKIDR, we should not submit any buy orders or trades to SEHK for you. Similarly, under OTCR, if the client consent cannot be obtained from you, we should not effect transfers of shares or deposits of physical share certificates into your account).

To fulfill SFC’s requirement, you need to:

  • confirm the CID and personal data as maintained with us are provided following the order of priority for identity document type as specified by the SFC, and are accurate and most up-to-date

    1 Hong Kong Identity Card

    2 National identification document

    3 Passport

  • notify and provide the latest personal data to us if there are any changes (e.g. if your passport is expired; if you previously provided passport as your identification document and are now holding a valid national identification document, you should provide your National identification document to us now) at a future time.

If you are holding a HKID Card, you can provide consent via Hang Seng Personal e-Banking, Hang Seng Personal Banking mobile app, Hang Seng Invest Express mobile app
or branches.

If you do not hold a HKID Card, you need to provide your consent and other identification documents to us according to SFC's requirement.

The ways for providing consent above will be launched soon, we will obtain the consent according to relevant identity document type in stages, please stay tuned.

To find out more details about HKIDR or OTCR, please visit SFC and HKEX website.

If we do not receive consents from all account holders of the same account and the most up-to-date personal data in the priority for CID specified by SFC, we will not be able to carry out your trading instructions or provide services to you in relation to securities listed or traded on SEHK (e.g. If the client consent cannot be obtained from you, under the HKIDR, we should not submit any buy orders or trades to SEHK for you. Similarly, under OTCR, if the client consent cannot be obtained from you, we should not effect transfers of shares or deposits of physical share certificates into your account)

How to provide consent?

Personal e-Banking (Desktop version)

Step 1
Select "Investments" > "Securities" > "Local Securities - Client Consent" from left menu.
Step 1
Select "Investments" > "Securities" > "Local Securities - Client Consent" from left menu.
Step 1
Select "Local Securities - Client Consent" from left menu.

FAQs

General Questions

Yes, all account holders need to provide consent and the most up-to-date personal data following the order of priority for identity document type as specified by the SFC respectively. Otherwise, we will not be able to carry out your trading instructions or provide services to you in relation to securities listed or traded on SEHK (e.g. If the client consent cannot be obtained from you, under the HKIDR, we should not submit any buy orders or trades to SEHK for you. Similarly, under OTCR, if the client consent cannot be obtained from you, we should not effect transfers of shares or deposits of physical share certificates into your account). 

After HKIDR is implemented, we will assign Broker-Client Assigned Number and submit to SEHK’s data repository the client identification data (CID) (i.e. names and identity document information) when all account holders have provided consent and the most up-to-date personal data following the order of priority for identity document type as specified by the SFC. Upon receipt of confirmation from SEHK on your CID registration, the Bank will notify you the status via SMS (only for personal account customers).

Yes, you can withdraw your consent after it is provided. You can also provide your consent again after it is withdrawn, but you will have to provide the most up-to-date personal data following the order of priority for identity document type as specified by the SFC again.

Other related products

Hang Seng Invest Express x etnet

  • One stop solution to trade HK stocks, A shares and US stocks
  • Place your order online with 4 simple steps
  • Effortless synchronisation of traders’ watch list across all Hang Seng online platforms
  • Provide IPO subscription and IPO financing service (not applicable to US securities)[1]

Monthly Investment Plan for Stocks

  • Ease short-term market volatility by using dollar cost averaging 
  • A wide selection of stocks
  • Direct debit for maximum convenience
  • As low as HKD1,000 monthly investment amount

Useful information

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Need more help?

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Footnote

Other point(s) to note

  1. To find out more details about HKIDR or OTCR , please visit SFC and HKEX website.

Remark(s)

  1. To borrow or not to borrow? Borrow only if you can repay!