Reason for this visit

The international foreign exchange market in Hong Kong has been developing since the 1970s. Due to the removal of foreign exchange control in Hong Kong in 1973, there has been a large inflow of international capital, and an increasing number of financial institutions operating foreign exchange business have mushroomed. The foreign exchange market has become more and more active, developing into an international foreign exchange market. The Hong Kong foreign exchange market is an invisible market with no fixed trading venue. Traders conduct foreign exchange transactions through various modern communication facilities and computer networks. Hong Kong's geographical location and time zone conditions are similar to those of Singapore, making it very convenient to trade with other international foreign exchange markets. Participants in the Hong Kong foreign exchange market are mainly commercial banks and financial companies. There are three types of foreign exchange brokers in this market: local brokers, whose business is limited to Hong Kong; international brokers, who expanded their business to the Hong Kong foreign exchange market after the 1970s; international brokers that developed in Hong Kong, whose business has expanded to foreign exchange markets abroad. In order to help investors or practitioners have a more comprehensive understanding of foreign exchange brokers in Hong Kong, the survey team is going to pay on-site visits to them.

On-site visit

In this issue, the investigation team went to Hong Kong, China to visit the foreign exchange broker DSY as planned according to its registered regulatory address that Unit A, 7/F, Sing Ho Finance Building, 166-168 Gloucester Road, Wan Chai, Hong Kong.

The survey personnel came to the destination on February 11, 2023, where a common commercial office building is situated in a traditional business area of Wan Chai, with convenient MTR and various public transportations. The surrounding environment is clean and tidy, attracting huge crowds of people. There are also plenty of shops, restaurants, resident buildings and department stores.

After entering the building, the survey team arrived at the 2/F, where only "Investport (H.K.) Limited" could be seen, without any information about company DSY. And from the company directory in the lobby, it could be seen that 7a was occupied by "Hong Kong Golden Holdings LTD”. Therefore, it is confirmed that DSY doesn’t have a physical office here.

Conclusion

The investigators went to Hong Kong to visit the foreign exchange broker DSY as scheduled, but didn’t find its physical business office according to its registered regulatory address. Therefore, the broker’s forex regulatory information is not true. Investors are advised to stay alert to the broker. 

Disclaimer

The content is used for informational purpose only, and shall not be taken as a final order for making a choice.