Hong Kong and Mainland authorities are working together to seize business opportunities to expand the city's fund management industry.

Secretary for Financial Services & the Treasury Professor KC Chan told the Legislative Council today that a host of measures have been taken to bolster Hong Kong's fund management industry, such as seizing Mainland business opportunities, human resources development, tax breaks, enhanced investor education and facilitating market growth.

He said the measures come in the wake of Securities & Futures Commission initiatives launched last month to streamline licensing procedures for overseas fund managers.

"With the implementation of [these] measures, coupled with our fundamental strengths, including the rule of law, free flow of capital and information, simple and low tax regime, world-class infrastructure and a well established regulatory system, our fund management business has continued to flourish in the past years," he said.

"Looking ahead, the Government and our financial regulators will continue our efforts in promoting the development of hedge funds in Hong Kong to maintain our lead as a hedge fund centre and our position as an international financial centre."