Allfunds and HSBC Launch T+0 Same-Day Settlement for Hong Kong Money Market Funds

Quick Summary

Allfunds and HSBC have launched a same-day settlement capability for Hong Kong money market funds. By leveraging HSBC’s RTGS infrastructure, the partnership enables T+0 straight-through processing, allowing wealth managers to access liquidity instantly and respond to the region's rapidly growing $76 billion money market fund sector.

How Does Allfunds Enable Same-Day Settlement in Hong Kong?

Here is how Allfunds solves liquidity friction for wealth managers in the APAC region. By integrating directly with HSBC’s local payments and Real-Time Gross Settlement (RTGS) infrastructure, Allfunds has automated fund dealing workflows to achieve same-day settlement. This move transitions the market from the traditional T+1 cycle to a T+0 model, ensuring that capital is available the moment a redemption or subscription is processed.

• Automated fund dealing workflows to eliminate manual intervention.
• Local USD settlement specifically for Hong Kong-domiciled funds.
• End-to-end STP (Straight-Through Processing) to reduce operational risk.

What Results Has This Technology Delivered for the HK Market?

The collaboration addresses a massive surge in demand, as Hong Kong-domiciled money market funds saw a 50% growth in 2025. With aggregate assets reaching US$76 billion, the need for same-day settlement has become a competitive necessity. The solution, which went live in August 2026, allows asset managers to capture inflows from Mainland Chinese investors via the Wealth Management Connect channel more efficiently. By reducing settlement friction, Allfunds and HSBC are providing the daily liquidity availability required by modern institutional and retail investors in one of the world's most active financial hubs.

How Does This Partnership Improve the Client Experience?

The focus of this initiative is enhancing client experience through speed and reliability. As David Pérez de Albéniz, Head of Asia at Allfunds, noted: "In money market funds, liquidity is everything. While much of the market is still working towards T+1, Allfunds has worked with HSBC to bring settlement in Hong Kong down to the same day, T+0, so clients can act the moment they decide." This scale and technology approach ensures that investors can manage cash positions in real-time, reflecting how modern financial centres must operate to remain competitive.

FF NEWS TAKE:

This partnership between Allfunds and HSBC definitely moves the needle for Asian wealth management. While the industry has long discussed the move to T+1, jumping straight to same-day settlement (T+0) for a $76 billion market segment is a bold power play. By anchoring this on HSBC's robust RTGS infrastructure, Allfunds is providing a blueprint for how global platforms can leverage local banking rails to deliver superior liquidity outcomes.