Front Matter for: Investor Protection in Capital Markets - The Case of Hong Kong

Abstract

Hong Kong is one of the world’s financial powerhouses. Its capital market is the second largest in Asia and 8th largest in the world, in terms of total capitalization. Indeed, these statistics under-state the importance of Hong Kong’s capital markets. The stock exchanges in Hong Kong and Shanghai combine to give the People’s Republic of China two of the three leading exchanges in Asia and two of the important exchanges in the world. Moreover, Hong Kong is the spearhead of China’s effort to open and regulate its capital markets. The economy of both China and the world will be materially affected by China’s success in further developing and regulating Hong Kong’s financial markets. The book of In Investor Protection in Capital Markets - The Hong Kong Case, provides an illuminating and comprehensive examination of the institutions and regulations governing Hong Kong’s capital markets. The book offers an in-depth analysis of the regulation of and parties operating within Hong Kong’s market that should be invaluable to all interested in this important market: research scholars, business men, legal practitioners, and institutional and individual investors alike. Hong Kong’s markets initially developed in a laissez faire legal environment. This is no longer the case. The book leads the reader on a fascinating journey through the interlocking institutions and regulations aimed at protecting investors, largely through both mandated disclosure and liability for those who make material misstatements or engage in other misconduct.