Rolling bad apples

Author: IFLR Correspondent | Published: 5 Dec 2019

Hong Kong SAR's Securities and Futures Commission (SFC) introduced strict measures as part of its licensing reforms in February 2019 to stop the 'rolling of bad apples', referring to employees with a record of misconduct who move from one firm to another.

Through more stringent reporting rules from firms, the SFC aims to mitigate misconduct risk by collecting and analysing data of recurring employee misconduct cases gathered from firms. The idea is...