HK SFC increases profit by 60% in 2003

Hong Kong Securities and Futures Commission (SFC) lifted its total revenue of 2003 to 551 million HK dollars (70.6 million US dollars), an increase of 63 percent from the previous year, according to SFC's annual report released in Hong Kong Wednesday.

Due to improved market condition last year, levies collected bythe Stock Exchange of Hong Kong Limited and Hong Kong Futures Exchange Limited increased 104 percent to 380 million HK dollars (48.7 million US dollars). SFC turned into net surplus of 125 million HK dollars (16 million US dollars) from the previous two years deficit, it said.

The rising market and trading volume last year on the stock exchange improved the bottom line of intermediaries. Net profit for the 12 months to end 2003 for securities dealers and securities margin financiers'jumped 3.6 times to 6,788 million HK dollars (870.3 million US dollars) from the previous year. Total shareholders'funds rose by 23 percent with return on shareholders'fund as of Dec. 31, 2003 increasing to 10.7 percent from 3.6 percent in 2002.

SFC chairman Andrew Sheng said SFC will work with Hong Kong SARgovernment and Hong Kong Stock Exchange to "ensure that reform canbe achieved as quickly as practicable, including the drafting of rules under the Securities and Futures Ordinance to codify certainimportant listing requirements, and implementation of administrative measures to improve the accountability and transparency of the list regime."

Source: Xinhua