Financial services risk and regulation – Regulatory News Flash (13 March 2023) – Banking and Capital Markets

March 2023

The Hong Kong Monetary Authority (“HKMA”) has conducted a review of the selling processes of investment products of selected registered institutions (“RIs”) covering retail banks and private banks to help clear some misunderstandings of RIs on applicable requirements and expected standards. On 27 February 2023, the HKMA released a circular summarizing the observations from the review and providing clarifications.

The circular also reminds the RIs to take into account the observations and review their processes with a view to balancing the customer experience and customer protection.