Hong Kong

Market Infrastructure

Regulatory Change Aggravated the CITIC-CLSA Culture Clash

By Peter Guy | 28/05/2019

Though the CLSA-CITIC fallout was characterised as a cultural clash, this narrative frays against the other challenges facing stock brokers and investment bankers, says Peter Guy.

Enforcement

SFC Fines China Merchants Securities for IPO Sponsor Failures

By Editors | 28/05/2019

China Merchants Securities was a joint sponsor with UBS – fined in March – for the 2009 IPO of China Metal Recycling, which was found to have fabricated financial information.

Securities / Derivatives

HK to Suspend Stocks on Disclaimer, Adverse Audit Opinions

By Editors | 27/05/2019

Trading in a Hong Kong listed company will be suspended if the auditor issues a disclaimer or adverse opinion for any financial year commencing on or after 1 September 2019.

Securities / Derivatives

SFC Investigation Disclosure Obligation Presents Challenge to Industry

By Manesh Samtani | 24/05/2019

The SFC has clarified aspects of the new disclosure obligation, but concerns remain over logistical and administrative burdens, say ASIFMA and Herbert Smith Freehills.

ESG / Sustainability

HKEX Consults on ESG Reporting Framework

By Editors | 24/05/2019

HKEX is reviewing its ESG reporting framework to ensure it remains fit for purpose and is up to date with investor and stakeholder expectations and international best practice.

Fintech / Regtech

HKMA Steps Towards Regulating Big Data Analytics, AI in FinTech

By Hannah Cassidy | 24/05/2019

Herbert Smith Freehills says the HKMA push for adoption of the Ethical Accountability Framework in FinTech development represents a broader movement toward regulating artificial intelligence.

AML / KYC

Hong Kong, China Framework Comparison – KYC Standards

By Prasanna Venkatesan | 23/05/2019

Given the similarities between Hong Kong and China’s KYC frameworks, cross-border onboarding and account opening has become less of a challenge, say Synpulse’s Prasanna Venkatesan, Gregory Achache and Marina Mai.

Enforcement

Former DBS Hong Kong Sales Rep Jailed for Loan Fraud

By Editors | 22/05/2019

A former sales representative of DBS Bank in Hong Kong was last week sentenced to 14 months’ imprisonment for defrauding the bank of loans and commissions.

Market Infrastructure

Hong Kong-China Arbitration Arrangement a Boon for Lenders

By Manesh Samtani | 22/05/2019

The new arrangement enabling Hong Kong-seated arbitrations to seek interim measures from mainland courts represents a step forward for China’s offshore financiers.