In the finance, banking, and securities industries, there are millions of assets flowing in and out everyday to say the least. Many people are eager to meet wealthy people, earn a generous amount of commission income, and even easily be in control of the stock market. However, to go back to the basics, if you want to engage in a securities, derivatives, asset management and other financial services-related industry, how should you apply for a license?
What conditions must be met?
First, to apply for a securities business license, you need to meet the “Guidelines on Competence” issued by the Securities and Futures Commission. For example, you need to pass the HKSI LE (Licensing Examination organised by the HKSI) Paper 1. If you do not meet the exemption conditions, you need to take at least 2 other exam papers and obtain pass grades within 3 years.
Please refer to the following article for the exemption conditions of HKSI LE https://2cexam.com.hk/a1015_eng
Secondly, the financial status of the applicant will also be reviewed, and the applicant cannot be currently under bankruptcy status.
Thirdly, the integrity and reliability of the applicant will also be considered, such as whether the applicant has served as a director or senior manager of an insolvent company in recent years.
Fourthly, some people may wonder if the staff of the Securities and Future Commission does not know you, how do they evaluate your character? The staff of the SFC will also explore your past criminal records, on whether you have ever had disciplinary actions, known frauds, misrepresentations, etc. in other licensed corporations in the past.
Fifthly, the minimum academic requirement for a license is to obtain passing results in Chinese+Mathematics or English+Mathematics in the Hong Kong Certificate of Education Examination (HKCEE) or the Hong Kong Diploma of Secondary Education Examination (HKDSE). A candidate does not need to take the exam mentioned if he/she can provide proof of internationally recognized professional qualifications or securities-related industry experience.
For more detailed information, please refer to the “Guidelines on Competence” issued by the SFC
How to apply for a license?
Once you have met the requirements of the Guidelines on Competence, you need to find a job and then your company will negotiate with the SFC about the license application. Students need to be cautious on avoiding potential conflict of interest. Some people will ask if it is possible to be listed in more than one company. In most circumstances, being listed in multiple companies is not allowed; but there is a very common situation, where candidates are required by the company to be listed in both the parent and subsidiary companies or two subsidiaries that are under the same holding company at the same time.
After passing the exam and obtaining a job, you need to check with the HR or the compliance department on what documents are required to be submitted. If you wish to be more meticulous, you can even prepare some necessary documents in advance. For example, if you want to be exempted from taking HKSI LE Papers 7-12, you will need to prepare a certificate proving your academic qualifications/work experience, you may also include a paragraph explaining how the degree is related to economics, business administration, law, finance and accounting, or how the work experience is related to the securities industry. Secondly, you also need to submit your personal information to the colleague who is going to submit the license application form for you; You must include your employment records in the past 5 years, as well as other directorships and business involvements, to declare your personal interests, hence to avoid conflicts of interest at work in the future.
After submitting all the documents to the HR or compliance department, your duties in applying for your license are complete, the rest of the application procedure will be done by your HR or compliance colleagues. They will submit your application to the Securities and Futures Commission (SFC), as well as answering any questions raised by the SFC; in saying that, your colleagues may also need your help in the process.
How can we help?
2CExam provides HKSI LE, IIQE, EAQE and SQE related exam preparation materials. We sell mock question banks for HKSI LE Papers 1, 2, 3, 5, 6, 7, 8, 9, 11, 12 in Chinese and English; and bibles for HKSI LE Papers 1, 2, 6, 7, 8 in Chinese. We also offer 1 on 1 tutorial services. Besides, we have also made free tutorial videos for HKSI LE Papers 1, 2, 6, 7, 8, 11, 12 and posted on public channels such as Youtube/ Bilibili/ Tencent/ Iqiyi. 2CExam has been an exam training expert for years. Should you need any help please visit www.2cexam.com or contact us through:
Phone +852 2110 9644 Email: [email protected] Wechat: hk2cexam WhatsApp: +852 9347 2064
Please support us by leaving comments and likes if you think this article helps you!
You can scan or click on the QR codes to visit our social media.
Students who have taken/ who are going to take the IIQE should know the study note is a several-hundred pages, paragraph form booklet illustrating the exam coverage. Not to mention the length of the text, the expression of concepts requires readers’ intense concentration. So some candidates think that doing only the practise questions should be…
Why can’t you learn the practise questions by rote when studying for the HKSI Licensing Examination (LE)?
Students who have taken/ who are going to take the HKSI LE should know the HKSI study note is a several-hundred pages, paragraph form booklet illustrating the exam coverage. Not to mention the length of the text, the expression of concepts requires readers’ intense concentration. So some candidates think that doing only the practise questions…
The IIQE exam should be registered at PEAK instead of the Insurance Regulatory Bureau. The IIQE exam places are quite sought-after. If students have an urgent need to take the exam, students should decide to register as soon as possible. The test period will be issued on a day between the 12th to 17th of…
The HKSI LE exam must be registered at HKSI, but not the SFC. There are two methods for registration. The most popular one is online registration, followed by in-person registration. How to register for HKSI exam Register online: 1. To register for the exam, you must first register as a member of HKSI 2. Click…
Losing Friends and Family Is Inevitable Once Joined the Insurance Industry? 10 Benefits of Working in The Insurance Industry That Can Overturn Your Stereotypes
Must people in the insurance industry lose their friends and family? NO! It is not that you won’t have friends when you join the insurance industry. In fact, it depends on whether you use the correct method to sell. When you only care about commissions and don’t care about the needs of your customers, selling…
After passing the IIQE (Insurance Intermediary Qualifying Examination) in Hong Kong, students can start looking for jobs. What job options are there? Bank Relationship Manager (RM) / General Banking Officer (GBO) / Personal Banking Officer / Assistant Relationship Manager (ARM) Some sales positions in the bank, including Relationship Manager (RM) and their assistant – Assistant…
First, I would like to clarify that some people do not take the HKSI Licensing Examination (also known as LE exam) to find a job, but just to learn more about the financial/ securities market and equip themselves with the necessary knowledge in a compact and more organised way. This article will not cover information…
Is there an insufficient supply of positions in the securities industry? There are contradictory opinions on the internet. Some say that the financial industry is in demand for talents; others say that the financial industry has burst, and there are too many monks with only a little porridge. From my experience in the recruitment industry…
Is the Securities, Insurance or Real Estate Industry Better? Comparing Incomes amongst Finance Industries
Securities and Banking According to statistics on the Internet and our experience, in Hong Kong, even for some common junior or middle-level positions in the financial/ securities industry, such as risk analyst, research analyst, and compliance officer, the average base salary is between HK$20,000 and 30,000 per month. Many people who have sufficient work experience…
What is updated in 2022 in IIQE Paper 1 Insurance Exam Study Manual? Is the 2017 or older version sufficient for the upcoming exams?
The 2021 version of IIQE Paper 1 was officially applicable to exams in 2022 Insurance Authority has taken over the supervision of the insurance industry for more than two years. The IIQE Paper 1 (Insurance Intermediary Qualification Examination) finally put the new regulatory structure in the study manual, and the new study manual can be…