asia. one of the main and direct ways is by bis central bankers ’ speeches setting up an office in hong kong. this has also cascaded further down the value - chain, with a growing number of service providers also moving here. however, despite these strengths and advantages, we cannot afford to be complacent. we know, for example, that hong kong ’ s asset management industry needs to become more diverse, with more high - value jobs. of our asset management employee base, the vast majority are currently in sales and marketing, with only 10 % in core asset management functions such as fund management, research and trading. this compares to over a quarter in the uk and us. so to capitalise on the opportunities ahead, a top priority must be to develop our asset and wealth management sector. that ’ s why, in partnership with asset managers here and around the world, the hkma has been exploring how to improve our international competitiveness, including through a more favourable operating and regulatory environment. from time to time, we meet with stakeholders across the value - chain to gather practitioners ’ views as to what the market needs in order to develop further. we will continue our work in this regard. private banking one area we know we can improve is private banking. this is a business area that is growing exponentially in the region. according to industry research, asia - pacific has accounted for half the growth in global wealth from 2010 onwards. it also has a fifth of the world ’ s millionaires. and these numbers will get bigger, with global wealth expected to rise 50 % by 2016. so, the opportunities for our region are enormous. we must ensure we have a regulatory framework that recognises this, one that is user friendly to private banking clients, yet sufficiently robust to provide appropriate investor protection, as well as being on par with international standards. to achieve this, we ’ ve recently introduced some refinements to our regulatory arrangements, following consultation with the industry. these measures were announced in june, so i ’ d just like to very briefly recapitulate four of the key points as follows. first, while we want to ensure appropriate protection to all investors, it is reasonable to treat private banking and retail banking clients differently in the investment process. so the first change is that we have provided an expanded definition for “ private banking customers ” that caters much better for the operational needs of private banks. second, we have clarified that private banks may adopt a “ portfolio -

part of the pra's core supervisory processes last year. 2 / 7 bis - central bankers'speeches our reviews and observations – including the cbes – have shown significant progress. however, a distance remains to the end - point and all firms need to invest to make further progress. we have given firms a huge amount of homework to do, as set out in our latest dear ceoopens in a new window letter and in direct supervisory feedback. i can assure you we will be marking that homework. progress on climate related disclosures third, in 2020, the quantity and quality of climate disclosures was in its infancy. we had recognised the need for it to move from the static to the strategic, for it to be forwardlooking and for it to be comparable across firms. now, mandatory disclosures for large corporates under the tcfd are a reality in the uk, and are driving the right conversations around board tables. here at the bank we are soon to publish our fourth tcfd - aligned report, overcoming challenges with each new report. and internationally the issb is due to build on the work of the tcfd by publishing its first global standards on climate later this year – in a fraction of the time usually taken. i have very little doubt that in the future we will look back at the issb's work as a fundamental building block of comparable global green markets. the growth of green finance fourth, we have seen and continue to see growth in the green finance market. the share of green finance in total finance has steadily increased, reflecting burgeoning investor demand and the financial system's ability to innovate. 3 that poses new challenges, including greenwashing, and markets regulators like the fca are responding accordingly. but it's not only green products we need to see growth in. more fundamentally, we need to see an increase in transition finance projects that help business deliver long - term emissions reductions – greening our future economy, not just investing in the currently green. to that end, i welcome the government's 2023 green finance strategyopens in a new window. it includes a huge number of measures, but i was especially pleased to see commitments that will create the required cross - economy infrastructure for financing – including sector investment plans, an industry - led transition finance market review, and a net zero business and investment group to advise government on the needs of the private sector to mobilise capital. turning aspiration