glossary

Technical terms are everywhere
in banking, payment, and Forex


a

Articles of association (AoA)

The articles of association of a company is a document that defines the responsibilities of the directors, the kind of business to be undertaken, and the means by which the shareholders exert control over the board of directors. It is also known as “articles of incorporation” in some jurisdictions. This fundamental document is required to incorporate a company in Hong Kong (see sample here).

b

Business bank account

That’s another name given to “corporate bank account”, see definition below.

Business registration certificate

This is a certificate issued by the Hong Kong Companies Registry to confirm your business is registered in Hong Kong (see a sample here). This certificate must be renewed every year. This fundamental document is required when applying for a bank account in Hong Kong.

c

Certificate of incorporation

This is a certificate issued by the Hong Kong Companies Registry to confirm your company is incorporated in Hong Kong (see a sample here).

Commercial bank account

That’s another name given to “corporate bank account”, see definition above.

Corporate bank account

A corporate bank account is a bank account opened under the name of your company.

Correspondent bank

This is also known as Intermediary bank, see definition below.

d

Directors

A director is a person or company who conducts the affairs of a company. Directors act as agents of the company, owe fiduciary duties to it and have a duty of care towards it.

f

FX commissions

That’s the fees you pay when you convert two currencies. In other words, that what the banks charge you on top of the market rate.

FX spreads

That’s the technical jargon used for FX commissions, see definition above.

i

Intermediary bank

An intermediary bank provides services (usually in the context of a bank transfer) on behalf of another bank, it is standing between the issuing bank and the receving bank. It is also called “correspondent bank” in some countries.

k

Know Your Customer/Clients (KYC)

Like other financial institutions, Statrys must verify the identity of its potential clients and assesses their suitability, along with the potential risks of illegal intentionsto to fight international criminal activities. This verification process must be done in compliance with anti-money laundering regulations.

n

Notice of insurance

In Hong Kong, a notice of insurance (see sample here) is a document that your insurance broker sends to confirm a company has taken out the Employees’ Compensation Insurance.

s

Shareholders

The shareholders are individuals or companies that own a given company. The percentage of shares held by each shareholder varies with the amount of their financial investments. Shareholders typically receive dividends if the company does well and succeeds.

u

Ultimate beneficial owners (UBOs)

An UBO is an individual who benefits from or is impacted positively from a company even though they are not formally named as the owner of a business. It is a real person within the parent company that owns or controls over 25% of the company shares, has the right to exercise significant control over the company and/or has the right to remove the majority of the board of directors. In other an UBO is a person with significant control at the ‘top of a tree’ in a business.

Statrys Limited is licensed as a Money Service Operator (No. 19-02-02726) in Hong Kong. ‍ Statrys UK Limited is a Small Payment Institution (FRM: 911226) registered with the Financial Conduct Authority in the United Kingdom. Statrys UK Limited (FRM: 902805) is a registered agent of PayrNet Limited (FRM:900594), an Electronic Money Institution authorised by the Financial Conduct Authority in the United Kingdom under the Electronic Money Regulations 2011 for the issuing of electronic money. Trade financing services are offered by our partner, Velotrade Management Limited, regulated by the Securities and Futures Commission of Hong Kong (CE Ref #BJL007)