Hong Kong Securities and Futures Commission: Combating misconduct in the asset management industry will be a top priority
Hong Kong Securities and Futures Commission issued an official letter pointing out that in the process of supervising licensed firms managing private funds and entrusted accounts, multiple deficiencies and substandard conduct were found. Many cases involved serious misconduct, which posed a significant threat to the interests of investors and shook public confidence in the integrity and stability of the Hong Kong market as an international asset management center.
The cases described in the letter involve violations in multiple categories, including conflicts of interest, risk management, investments within authorized scope, provision of information to investors, and valuation methods, among others. The current responsibilities applicable to asset management companies in such situations are also listed. The Hong Kong Securities and Futures Commission stated that asset management companies should review the issues raised in the letter and take appropriate measures to correct any identified deficiencies.
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