CHINA MERCHANTS SECURITIES INTERNATIONAL COMPANY LIMITED (“CMSI”)

TENDER NOTICE

TENDER FOR PROVISION OF CONSULTANCY SERVICE FOR APPLYING TYPE 11 RA LICENSE [Tender Ref.:  PT_ES-2025-001]

1.    Background Information 

The market has been anticipating the introduction of the SFC's new licensing system for over-the-counter derivatives (OTCD) trading, referred to as the regulated activity 11 (RA11) regime and expects to be launched in 2025 or not later than mid-2026. 

China Merchants Securities International Limited (“CMSI’) is inviting tenders for the provision of consultancy services for applying for the SFC RA 11 license to fully comply with new SFC requirements. The procurement of consultancy service is being conducted through an open tender exercise.  The appointed consultant will be expected to work with CMSI on advising licensing requirements and assisting with application Regulated Activity RA11 process.

2.    Scope of Services

The scope of work and services shall cover the following :

2.1     Provide consultancy service and support on the overall management of RA application

2.2     Project planning and RA 11 gap analysis with Project roadmap and timeline

2.3     Support for RA11 capital measurement and provide suggestions on legal entity structure optimization for OTC Derivatives business, along with advice on the collaboration between our RA1 entity and RA11 entity.

2.4     Implementation and validation of capital measurement by different derivative pricing models under RA 11 requirements

2.5     Advising, supporting and verifying SIMM model implementation in collateral management workflow by consultant

2.6     Optimization of Model Risk Management System

2.7     Supporting and validation of new OTC reporting system and workflow

2.8     Prepare and assist in RA 11 license applications and regulatory compliance materials to SFC

2.9     Provide a series of specialized training sessions with related knowledge to CMSI

3.    Schedule of Tendering 

The tentative schedule of tender is set out below and any change to the schedule will be confirmed by tender document or e-mail to Tenderers.

4.    Expressions of Interest

To be considered for prequalification, interested parties having relevant resources, qualifications and experience are requested to sign non-disclosure letter as below attached and return to procurement@cmschina.com.hk and quote Tender Ref :  PT_ES-2025-001.