Asia Should Learn From Mistakes of the West - Hong Kong's Securities and Features Commission Chief Executive
By EW News Desk | November 28, 2012 10:35 AM EST
Asian financial markets and regulatory bodies need to understand and learn from the mistakes of the West or risk having their own interests trampled upon, said the chief executive of Hong Kong's Securities and Futures Commission.
The Asian financial sector, boosted by the expansion of regional emerging markets, will grow to rival that of the West, but it will be "unbelievably stupid to try to grow the Asian financial system while ignoring the problems that arose in the West," said Ashley Alder, chief executive of Hong Kong's Securities and Futures Commission.
Speaking at the third annual Thomson Reuters Pan-Asian Regulatory Summit, Alder acknowledged that banks and other financial institutions in Asia have been worried about certain elements of strict financial regulation being drawn up in the West.
However, he insisted that there is no "one size fits all" template and Asia must pressure Western regulators to agree on a workable set of international rules as well as enact similar regulatory reforms to protect their own financial and economic interests.
If Asia does not get properly involved in the global regulatory agenda, we will find that the U.S. and European rules will be extended to us whether we like it or not. The result could be an isolation of Asian markets from international finance.
"The threat is that if we or Asian firms don't play ball, international firms will find it hard to operate here, seriously harming liquidity in these markets. It could be a case of my way or the highway," he said.
Addressing concerns that Asia would benefit from stricter financial rules in the West, Alder cautioned that "regulatory arbitrage always ends in tears" and stated that there is "no advantage in lowering our standards in order to attract business".
"Investors want to come here to participate in Asian growth not to escape stricter regulation at home."
Most Popular Slideshows
- In Photos, Typhoon Rammasun Blasts the Philippines
- Ellen DeGeneres Caught Cheating with Mutual Friend Before Portia de Rossi’s Rehab – Reports [PHOTOS]
- Flight MH17 Attack: Russians Claim 'Putin A Terrorist,' Memorial at Dutch Embassy Overflows [PHOTOS]
- Malaysia Airlines MH17: Vital Black Boxes Finally Land in Hands of Malaysian Authorities, Rebels Announce Ceasefire (PHOTOS/VIDEOS)
Join the Conversation
- Australian Stock Market Report – Midday July 23, 2014
- Australian Stock Market Report –Midday July 22, 2014
- Major European & U.S. Airlines Cancel Flights to Israel after Rocket Attack on Tel Aviv Airport
- BHP Billiton Goads Abbott Government to Also Repeal Mining Tax Law
- Australian Stock Market Report – Morning July 23, 2014
- Google Nexus 8 Release Date Soon Along with 2 More HTC Android Tablets – Reports
- Windows Phone 8.1 Update Rollout: 20 Nokia Lumia Phones Eligible and 13 New Features to be Added
- Moto 360 Price Speculations, Key Features, Strategic Release Date, Design: A Watch That is More Than Just Time
- Samsung Galaxy Note 4 Apps Leak Online, Five Fresh Features to Expect from the Android Smartphone
- Three New Moto G Successors Spotted in FCC Document Dubbed Moto G2, Moto M and More --Reports
- Sony PlayStation 4 Outsells a Resurgent Xbox One in June
- Apple Logo on iPhone 6 Might Double as Notification LED; Roughly 80M iPhone 6 Units Ordered Targeting Release Date—Reports