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 since 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. Hong Kong foreign exchange market is an invisible market without a fixed trading venue. Traders conduct foreign exchange transactions through various modern communication facilities and computer networks. Hong Kongs 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 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 have expanded their business to the Hong Kong foreign exchange market since the 1970s; international brokers that grow locally and has expanded their business to foreign exchange markets abroad. In an attempt to help investors or practitioners gain a more comprehensive understanding of current foreign exchange brokers in Hong Kong, WikiFX survey team determines to pay on-site visits to local companies.

On-site visit

In this issue, the survey team went to Hong Kong to visit broker Zhongrong as planned according to its regulatory address that Suite 1901-02 & 14, 19/F, Tower 6, The Gateway, Harbour City, Tsim Sha Tsui, Kowloon, Hong Kong.

The investigators came to The Gateway of Harbour City at 9 Canton Road in Tsim Sha Tsui of Kowloon, Hong Kong for a visit to the broker‘s office on December 7, 2023. With a fabulous location adjacent to bus and ferry terminal, the commercial building is easily accessible by public transports within 8-minute walking distance from Tsim Sha Tsui Station or East Tsim Sha Tsui Station of MTR. Additionally, there’s a steady stream of people on the nearby street in a neat and tidy surrounding environment.

Upon arrival at the building for further investigation, the survey personnel located the renowned shopping mall Harbour City on the ground floor home to the worlds numerous top brand outlets.

And then the inquiry team proceeded to the 19th floor via the elevator, and discovered from the floor directory that unit 1901-02 & 14 is occupied by “China Best Group Holding Limited” and “Jet-Air (H.K.) Limited”, and there wasnt any information pertinent to Zhongrong.

Only the company name, logo, and reception area of China Best could be seen conspicuously at unit 1901-02 & 14, without any information concerning Zhongrong.

Through the on-side investigation, it is confirmed that the broker doesnt have a physical presence at the location.

Conclusion

The survey team went to Hong Kong to visit broker Zhongrong as scheduled, but didn‘t find the company’s name at its regulatory address. This denotes that the broker doesnt have a physical business office at the place. Therefore, investors should be meticulous in choosing the broker.

Disclaimer

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