Hong Kong Gold Trader Urges Tighter Rules, ASEAN Push
AM730 · 1 SOURCESabout 3 hours ago4 MIN
Summary
As Hong Kong gradually implements measures for its gold industry, Shangzhi International chairman Yu Man-chung (余文仲) said stronger supervision and clearer rules are essential for healthy market development. He argued that better regulation could raise global investor confidence in Hong Kong, while his company is using the city as a base to pursue expansion in Southeast Asia
Key Points
- Yu, who has worked in the precious metals trading industry for 30 years, said misconduct by a small number of operators can damage the reputation of the entire sector
- He said many investors hesitate before opening accounts, first asking whether a company is fraudulent or problematic rather than focusing on profit and loss
- Yu said it would be positive if exchanges were given more authority to regulate member firms, with clear red lines and guidance for the trade
- Two years ago, he founded Shangzhi International and adopted a direct-to-client model without brokers, saying it reduces misunderstandings and lowers trading costs
- The company said its gold trading spread can be as low as US$0.10, and Yu is exploring Vietnam, Malaysia and Indonesia for licensing and partnerships
Why It Matters
For Hong Kong readers, the debate is notable because an industry participant is publicly arguing that tighter oversight could help, rather than hinder, the city’s gold-market development. If clearer rules do improve trust, that could support Hong Kong’s effort to attract international gold trading and position local firms for regional growth from a Hong Kong base