Hong Kong's status as Asia's capital hub is likely to be enhanced by the ructions in China, as the city's track record for financial security and booming listings market attract investors eager to escape the volatility on the mainland.
Hong Kong is already the world's second most competitive economy, behind the U.S., according to a ranking by the IMD World Competitiveness Center earlier this year, thanks to high efficiency levels and business-friendly policies like zero export tariffs.
"China's volatility will further lift Hong Kong's reputation as an international financial center," said Daniel So, strategist at CIMB International Securities.
"There were fears that Hong Kong would be overtaken by Shanghai or Shenzhen once Beijing's capital market liberalization took off but now we've seen the latter two are not yet ready to be financial hubs," he continued, referring to the Beijing's seemingly botched management of stock markets.
After engineering an equity market bubble that took the Shanghai Composite to seven-year peaks in early June, Beijing began a series of aggressive, and often contradictory, policy measures once the market started tanking, such as halting initial public offerings (IPOs) and leveling accusations of malicious stock selling. Analysts and investors alike have told CNBC these actions were "immature," saying Beijing's poor planning represented a market still in its infancy.
Hong Kong's bread and butter remains servicing the needs of investors hoping to participate in China's growth story, explained So. The city is investors' preferred method of gaining exposure to the world's second-largest economy, thanks to Hong Kong's core values such as corporate governance, something mainland shareholders have long bemoaned.
"Without these values, in the long term Hong Kong won't be much different than Shanghai."
The city already boasts Asia's highest levels of corporate governance, according to a 2014 study by CLSA, on the back of clear legal framework and consistent disclosure levels. New changes introduced last year emphasized annual risk management reviews and greater board responsibility for issuers.