Company: TOP
Filing Date: 2025-04-30
Form Type: POS AM
Source: 0001213900-25-037641
Chunk: 27

Company: TOP Financial Group Ltd
Filing Date: 2025-04-30
Form: POS AM
Chunk 27
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 futures contracts. ZYCL currently holds a Type 4 license for advising on securities,
a Type 5 license for advising on futures contracts and a Type 9 license for asset management. See “Item 4. Information on the Company—4.B.
Business Overview—Regulation—Licensing Regime Under the HKSFO”. These licenses have no expiration date and will remain
valid unless they are suspended, revoked or cancelled by the HKSFC. We pay standard governmental annual fees to the HKSFC and are subject
to continued regulatory obligations and requirements, including the maintenance of minimum paid-up share capital and liquid capital,
maintenance of segregated accounts, and submission of audited accounts and other required documents, among others. See “Item 4.
Information on the Company—4.B. Business Overview—Regulation—Licensing Regime Under the HKSFO”.

As advised by Stevenson, Wong & Co., our
Hong Kong counsel, neither we nor any of our subsidiaries are required to obtain any permission or approval from Hong Kong authorities
to offer the securities of TFGL to foreign investors provided that the offering activities are conducted outside of Hong Kong. However,
we have been advised by our Hong Kong counsel, Stevenson, Wong & Co., that uncertainties remain due to the possibility that laws,
regulations, or policies in Hong Kong could change rapidly in the future. Should there be any change in applicable laws, regulations,
or interpretations, and we or our subsidiary are required to obtain such permissions or approvals in the future, we will strive to comply
with the then applicable laws, regulations, or interpretations.

Recent Regulatory Development in the PRC

We are aware that, recently, the PRC government
initiated a series of regulatory actions and statements to regulate business operations in certain areas in China with little advance
notice, including cracking down on illegal activities in the securities market, enhancing supervision over China-based companies listed
overseas using a variable interest entity structure, adopting new measures to extend the scope of cybersecurity reviews, and expanding
the efforts in anti-monopoly enforcement.

For example, on June 10, 2021, the Standing
Committee of the National People’s Congress enacted the PRC Data Security Law, which took effect on September 1, 2021. The law
requires data collection to be conducted in a legitimate and proper manner, and stipulates that, for the purpose of data protection,
data processing activities must be conducted based on data classification and hierarchical protection system for data security.

On July