Standard Chartered seeks brokerage licence in mainland China: Xinhua

FILE PHOTO: People walk outside the main branch of Standard Chartered in Hong Kong, China August 1, 2017. REUTERS/Bobby Yip

SHANGHAI/HONG KONG (Reuters) - The Hong Kong unit of Standard Chartered 2888.HK[STANB.UL] has applied for a brokerage licence in mainland China, the state-backed Xinhua News Agency reported on Monday.

The China Securities Regulatory Commission (CSRC), the country’s top securities watchdog, had accepted the application from StanChart HK on Oct. 10 to set up a securities firm in the mainland, Xinhua reported.

The HK unit of StanChart told Reuters in an email that it was “looking to further develop onshore business through acquiring new licences”.

Beijing scrapped foreign ownership caps on securities firms and mutual funds for foreign investors on April 1, part of an interim Sino-U.S. trade deal signed in January.

The U.K.-headquartered bank backed a controversial Chinese national security law for Hong Kong and saw its share price tumble last month due to political uncertainties.

Reporting by Samuel Shen in Shanghai and Scott Murdoch in Hong Kong; Writing by Cheng Leng; Editing by Stephen Coates