Insights
Asian jurisdictions jostle to become the region’s gold hub
Asia’s gold market is entering a decisive phase. As Dubai, Shanghai, Singapore and Hong Kong advance their respective ambitions to become region’s gold hub, the greater opportunity may lie not in a single winner, but in a more connected Asian ecosystem that deepens liquidity, strengthens resilience, and builds institutional trust.
Hong Kong bets on gold
Hong Kong’s gold hub ambition is more than bullion transit. It aims to build Asian-time-zone pricing, clearing, custody and risk management by upgrading the city’s existing gold ecosystem into a full institutional market infrastructure.
Why Asia needs its own gold hub
Gold has always played a special role in Asian cultures and history. Over the past decade, global demand for gold has increased exponentially. Asian countries have notably overtaken Western markets to become the largest importers of gold. Despite this shift in demand, the price discovery, clearing, and settlement of the yellow metal continue to concentrate in Western time zones. Hong Kong has a timely opportunity to become a gold hub for Asia.
Hong Kong prepares to move its cash market to T+1 settlement
Hong Kong is preparing for T+1 settlement transition in Q4 2027. This marks a major post-trade market structure change, aligning its cash market settlement cycle with the US, Europe, and other major capital markets. The shift will pressure operational readiness, automation, settlement efficiency, FX funding, and cross-border liquidity management for brokers, custodians, asset servicing teams, and global investors.
Hong Kong sets high bar for stablecoin issuance with first licences
Hong Kong awarded the first stablecoin issuance licences to two note-issuing banks, making it clear that stablecoins will be treated as regulated payment and settlement infrastructure, not a frontier for speculation. The real test now lies in building profitable and sustainable use cases.
Family office boom
Asia's family office boom drives wealth and innovation, attracting several countries competing to become a hub for them. However, it also presents some unique challenges.
Stock Connect: A pioneering journey
The success of Stock Connect has revolutionized market access for cross-border investments since its launch a decade ago. As Hong Kong's financial market seeks its next engine of growth, Stock Connect serves as an inspiration for the potential development of a Hong Kong-Middle East Corridor.
Digital assets hub
Hong Kong has made significant strides in reinventing itself as a leading digital assets hub, a strategic step in its plan to rejuvenate the city’s appeal as a global financial centre. But the regulators are walking a tightrope in balancing risks and innovation.
Race for green finance hub
Tokyo, Singapore and Hong Kong are competing to become Asia’s green finance hub as trillions of dollars are expected to go into financing net zero transition.
A tale of two cities: Hong Kong and Singapore
Hong Kong’s Covid policy and US-China tensions have seen firms and talent move to Singapore. The city state is benefiting from the influx but also faces new challenges.
Tokyo’s bid to become a global financial centre
Japan has implemented a package of incentives to lure foreign fund houses to move to Tokyo, taking a big step forward on its plan to replace Hong Kong as Asia’s premier international financial centre. Despite these initiatives and Japan’s overall economic and other strengths, there are some intrinsic shortcomings that work against its plan.