CMS Asia Pacific’s Post

Hong Kong SFC issues restriction notice (prohibits dealing or processing assets) to Kingston Securities on a client account who is a Hong Kong-listed company Director suspected of misconduct & breaching director duties.  Read - https://lnkd.in/gEUZrQf8 follow Caproasia | Driving the future of Asia The Hong Kong Securities & Futures Commission (SFC) has issued a restriction notice (prohibits dealing or processing assets) to Kingston Securities on a client account who is a Hong Kong-listed company Director suspected of misconduct & breaching director duties.  Hong Kong SFC (6/9/24): “The Securities and Futures Commission (SFC) has issued a restriction notice to Kingston Securities Limited (Kingston), prohibiting it from dealing with or processing certain assets held in a client account that belongs to a listed corporation’s board member, who is suspected of committing misconduct and breaching his director’s duties.  The SFC is not investigating Kingston which has cooperated with the SFC’s investigation. The restriction notice does not affect Kingston or its other clients.  The restriction notice prohibits Kingston, without the SFC’s prior written consent, from disposing of or dealing with, assisting, counselling or procuring another person to dispose of or deal with certain assets in any way in the account up to the amount stated in the notice. Kingston is also required to notify the SFC if it receives any instructions regarding the prohibitions specified above.  The SFC considers that the issue of the restriction notice, which preserves the assets in the account, is necessary to ensure that there will be funds available to meet any potential order made by the Court in legal proceedings that may be brought by the SFC, and is desirable in the interest of the investing public or in the public interest."

Hong Kong SFC issues restriction notice (prohibits dealing or processing assets) to Kingston Securities on a client account who is a Hong Kong-listed company Director suspected of misconduct & breaching director duties.  Read - https://lnkd.in/gSFc78MG follow Caproasia | Driving the future of Asia The Hong Kong Securities & Futures Commission (SFC) has issued a restriction notice (prohibits dealing or processing assets) to Kingston Securities on a client account who is a Hong Kong-listed company Director suspected of misconduct & breaching director duties.  Hong Kong SFC (6/9/24): “The Securities and Futures Commission (SFC) has issued a restriction notice to Kingston Securities Limited (Kingston), prohibiting it from dealing with or processing certain assets held in a client account that belongs to a listed corporation’s board member, who is suspected of committing misconduct and breaching his director’s duties.  The SFC is not investigating Kingston which has cooperated with the SFC’s investigation. The restriction notice does not affect Kingston or its other clients.  The restriction notice prohibits Kingston, without the SFC’s prior written consent, from disposing of or dealing with, assisting, counselling or procuring another person to dispose of or deal with certain assets in any way in the account up to the amount stated in the notice. Kingston is also required to notify the SFC if it receives any instructions regarding the prohibitions specified above.  The SFC considers that the issue of the restriction notice, which preserves the assets in the account, is necessary to ensure that there will be funds available to meet any potential order made by the Court in legal proceedings that may be brought by the SFC, and is desirable in the interest of the investing public or in the public interest."

It’s good to see the increasing focus of regulators globally is on suitability and appropriateness of investment products for clients. In Hong Kong the recent review by SFC and HKMA revealed where intermediaries need to up their game with non-exchange traded products to meet regulatory expectations. They found issues in PDD, monitoring, and suitability, but with the right measures, firms can stay on track. Here Joanne Hui and Clarissa Lam explain what to look out for and how Bovill Newgate can help👇

Exciting news! Lazarus, as the Head of Compliance and Operations for the Hong Kong chapter, I am delighted to announce that we have expanded our services to include RA Type 1 Dealing in Securities in addition to our RA Type 4 Advisory in Securities and RA Type 9 Asset Management. This expansion allows us to cater to a broader range of clients. By obtaining the necessary regulatory approvals and licenses, Lazarus has demonstrated its strong commitment to compliance and regulatory adherence. We understand the complexities of the regulatory landscape and are equipped with a team of experienced compliance professionals who stay up-to-date with the latest developments in the securities industry. At Lazarus, we offer a comprehensive suite of tools and features designed to streamline compliance processes, enhance risk management, and enable efficient reporting. Our goal is to provide our clients and business partners with a seamless and integrated experience, empowering them to navigate the highly regulated environment with confidence. If you are a securities dealer, investment advisor, or fund manager in search of a trusted compliance partner, we invite you to explore Lazarus's expanded services in RA Type 1 Dealing in Securities. Together, we can navigate the complexities of the financial industry and ensure compliance excellence. #Lazarus #Compliance #RAType1 #Securities #FinancialIndustry

Hong Kong SFC starts Market Misconduct Tribunal (MMT) proceedings against the ex-Chairman of investment group Ding Yi Feng Holding Sui Guangyi, 2 entities & 28 individuals for suspected market manipulation to create false or misleading appearance of active trading on Smartac International shares in 2018 & 2019.  The trading of Ding Yi Feng Holding was suspended in 2019 & resumed in 2020. Ding Yi Feng Holding current market value is around $26 million. Sui Guangyi owns around 22.26% of Ding Yi Feng.  Read - https://lnkd.in/gUszCVMv follow Caproasia | Driving the future of Asia The Hong Kong Securities & Futures Commission (SFC) has started Market Misconduct Tribunal (MMT) proceedings against the ex-Chairman of investment group Ding Yi Feng Holding Sui Guangyi, 2 entities & 28 individuals for suspected market manipulation to create false or misleading appearance of active trading on Smartac International shares in 2018 & 2019.  The trading of Ding Yi Feng Holding was suspended in 2019 & resumed in 2020. Ding Yi Feng Holding current market value is around $26 million. Sui Guangyi owns around 22.26% of Ding Yi Feng.  Hong Kong SFC (12/11/24): “The Securities and Futures Commission (SFC) has commenced proceedings in the Market Misconduct Tribunal (MMT) against Mr Sui Guangyi, former chairman and non-executive director of Ding Yi Feng Holdings Group International Limited (Ding Yi Feng), two corporate entities and 28 other suspects for alleged manipulation of the shares of Smartac International Holdings Limited (Smartac) (Notes 1 and 2). The SFC alleges that between 31 October 2018 and 11 March 2019, Sui and the other 30 suspects conducted manipulative trading in Smartac shares to push up the price and turnover, which resulted in creating a false or misleading appearance of active trading in and the price of Smartac shares. Matched trades between the suspects’ securities accounts constituted a notable portion of the trading volume of Smartac shares during the material period (Note 3).  The substantial increase in Smartac’s share price also significantly contributed to an investment gain by Ding Yi Feng as Smartac shares accounted for 21.68% of its gross assets as of 31 December 2018.  The SFC had issued restriction notices to freeze securities accounts linked to the suspected market manipulation of Smartac shares. The restriction notices remain in force (Note 4).  The SFC appreciates the assistance provided by the China Securities Regulatory Commission during the investigation.”  In 2024 October, Hong Kong Securities and Futures Commission (SFC) obtained an interim court order to freeze $817 million assets of 11 suspected manipulators of Ding Yi Feng shares ... ...

According to an independent verifier’s report, #UNJSPF policies and procedures were designed and implemented in compliance with the Global Investment Performance Standards (GIPS®), a set of international standards based on the ethical principles of fair representation and full disclosure of investment performance. 🔗 https://lnkd.in/eStWRRfm

Hong Kong SFC withdrew restriction notice banning Bright Smart Securities from dealing with proceeds or assets of Barry Kwok Sze Lok who is suspected of insider trading in shares of I.T Limited, as SFC has obtained separate court orders to prevent dissipation of assets by Barry Kwok Sze Lok & Associate Tsang Ching Yi.  Read - https://lnkd.in/giDTyXDK follow Caproasia | Driving the future of Asia The Hong Kong Securities and Futures Commission (SFC) has withdrawn the restriction notice banning Bright Smart Securities from dealing with proceeds or assets of Barry Kwok Sze Lok who is suspected of insider trading in shares of I.T Limited, as SFC has obtained separate court orders to prevent dissipation of assets by Barry Kwok Sze Lok & Associate Tsang Ching Yi.  Hong Kong SFC (19/11/24): “The Securities and Futures Commission (SFC) has withdrawn the Restriction Notice prohibiting Bright Smart Securities International (H.K.) Limited (Bright Smart) from disposing of or dealing with proceeds or assets in the account of Mr Barry Kwok Sze Lok in connection with suspected insider dealing in the shares of I.T Limited (I.T) (Notes 1 and 2).  The withdrawal of the Restriction Notice imposed on Bright Smart in August 2022 came after the SFC obtained court orders to prevent dissipation of assets in relation to an investigation into suspected insider dealing in I.T. shares by Kwok and his associate Ms Tsang Ching Yi.  On 2 May 2023, the SFC obtained an interim injunction order from the Court of First Instance against Kwok and Tsang, prohibiting them from disposing of or dealing with their assets which are within Hong Kong, including all monies and securities in their securities accounts in Hong Kong, up to the value of $8,246,496 (Note 3).  Since the assets in Kwok’s account held with Bright Smart are subject to the interim injunction, it is not necessary for the Restriction Notice to remain in force. As such, the SFC considers it appropriate to withdraw the Restriction Notice imposed on Bright Smart.  Bright Smart is not a subject of the SFC’s investigation and the Restriction Notice did not affect its operations or its other clients.”  

Hong Kong SFC starts Market Misconduct Tribunal (MMT) proceedings against the ex-Chairman of investment group Ding Yi Feng Holding Sui Guangyi, 2 entities & 28 individuals for suspected market manipulation to create false or misleading appearance of active trading on Smartac International shares in 2018 & 2019.  The trading of Ding Yi Feng Holding was suspended in 2019 & resumed in 2020. Ding Yi Feng Holding current market value is around $26 million. Sui Guangyi owns around 22.26% of Ding Yi Feng.  Read - https://lnkd.in/gikdjwty follow Caproasia | Driving the future of Asia The Hong Kong Securities & Futures Commission (SFC) has started Market Misconduct Tribunal (MMT) proceedings against the ex-Chairman of investment group Ding Yi Feng Holding Sui Guangyi, 2 entities & 28 individuals for suspected market manipulation to create false or misleading appearance of active trading on Smartac International shares in 2018 & 2019.  The trading of Ding Yi Feng Holding was suspended in 2019 & resumed in 2020. Ding Yi Feng Holding current market value is around $26 million. Sui Guangyi owns around 22.26% of Ding Yi Feng.  Hong Kong SFC (12/11/24): “The Securities and Futures Commission (SFC) has commenced proceedings in the Market Misconduct Tribunal (MMT) against Mr Sui Guangyi, former chairman and non-executive director of Ding Yi Feng Holdings Group International Limited (Ding Yi Feng), two corporate entities and 28 other suspects for alleged manipulation of the shares of Smartac International Holdings Limited (Smartac) (Notes 1 and 2). The SFC alleges that between 31 October 2018 and 11 March 2019, Sui and the other 30 suspects conducted manipulative trading in Smartac shares to push up the price and turnover, which resulted in creating a false or misleading appearance of active trading in and the price of Smartac shares. Matched trades between the suspects’ securities accounts constituted a notable portion of the trading volume of Smartac shares during the material period (Note 3).  The substantial increase in Smartac’s share price also significantly contributed to an investment gain by Ding Yi Feng as Smartac shares accounted for 21.68% of its gross assets as of 31 December 2018.  The SFC had issued restriction notices to freeze securities accounts linked to the suspected market manipulation of Smartac shares. The restriction notices remain in force (Note 4).  The SFC appreciates the assistance provided by the China Securities Regulatory Commission during the investigation.”  In 2024 October, Hong Kong Securities and Futures Commission (SFC) obtained an interim court order to freeze $817 million assets of 11 suspected manipulators of Ding Yi Feng shares ... ...

To enhance Hong Kong’s competitiveness as a leading trading and risk management hub, HKEX, with support from the HKSAR Government and regulatory authorities, has completed a market consultation. Effective September 23, 2024, Hong Kong's securities and derivatives markets will remain open during severe weather conditions, ensuring continued trading, clearing, and settlement services. To prioritize safety, remote working and the use of online services are highly encouraged on Severe Weather Trading (SWT) days, and all public-facing physical outlets will be closed to provide services. Stay informed and be prepared for any requirement that may come with this new measure. Keep an eye on our market announcements and guidelines to ensure a smooth transition! #GCCConsulting #HKEX #SevereWeatherTrading #SWT #MarketUpdates #TradingUpdate #HongKongStockExchange #FinancialNews #TradingStrategies #FinancialInstitutions #StockMarketNews #RegulatoryApproval #WeatherImpact

Even Seasoned Investment Professionals Can Fall Prey to Sophisticated Scams!⚡   Having been in the financial industry for over 30 years, I am often asked to promote investment schemes that are on the grey area of being a "legal" scam.   The recent case involving Ng Yu Zhi's S$1.5 billion nickel trading scam in Singapore serves as a stark reminder that no one is immune, no matter how experienced or knowledgeable (article link in the comments).   The shocking facts are: a) The mastermind Ng Yu Zhi was only 37-year old b) It happened in Singapore, a place known for its stringent regulations and strict enforcement. c) Victims included high profile people like Temasek International general counsel Pek Siok Lan (S$5.5 million), former Law Society president Thio Shen Yi (S$500,000) and Vickers Venture Partners founder Finian Tan (US$19.2 million). Here are a few tips to protect yourself from financial scams: 1. Be wary of high-pressure sales tactics on any investment that promises high returns within a short time. If someone is pressuring you to grab the "limited opportunity" quickly, it's a red flag. 🚩 2. Do your own research. Never trust any information from the promoter 🔍 3. Get a second opinion from a trusted financial advisor or experienced investors 🤝 I kid you not but having 30+ years of experience enables me to spot a scam from a mile away! 4. If still unsure or uncomfortable, best is not to invest. After all, 100% Return OF Your Capital is More Important than the xx% Return ON Your Capital! Remember when it comes to your hard earned money, it’s always better to be Safe than Sorry. Reread point 4 above if still unsure. Have you encountered any suspicious investment offers, or fallen victim to financial fraud? Share your experiences in the comments below. #financialplanning #investments #wealthmanagement