HKSI Licensing Examination Paper 1 (Regulation) — Study Guide
Free, topic-by-topic study notes for the HKSI Licensing Examination Paper 1 (Regulation) exam. Read a chapter, then practice it.
Regulatory Overview of the Hong Kong Financial Industry
Paper 1 begins by mapping who does what in Hong Kong's financial markets. Knowing the division of labour between the SFC, the HKMA and HKEX resolves a large share of exam questions before any detailed rule is applied.
Principles of Hong Kong Law and the Companies Ordinance
A short but examinable foundation: Hong Kong's common-law system preserved under the Basic Law, and the company-law rules that govern how companies are formed and how they may raise money from the public.
The Securities and Futures Ordinance (SFO)
The SFO (Cap. 571) is the single statute that consolidates Hong Kong's securities and futures law. Paper 1 expects familiarity with its structure and the parts that carry the heaviest exam weight: licensing, market misconduct and disclosure of interests.
Licensing, Registration and Subsidiary Legislation
This topic covers who must be licensed, the fit-and-proper test, the roles of representatives and responsible officers, and the client-asset and record-keeping rules made under the SFO.
Business Conduct and Client Relations
The most heavily weighted topic. The SFC Code of Conduct's nine General Principles, and the know-your-client and suitability obligations that flow from them, are the backbone of day-to-day compliance.
Business Operations, Internal Controls and AML
How a licensed firm must run itself: internal controls and senior-management responsibility, anti-money-laundering duties, and the protection of clients' personal data.
Participating in the Exchanges and Accessing Public Capital
How trades are executed, cleared and settled on HKEX, and the framework for listing, takeovers and share buy-backs through which companies access public capital.
Market Misconduct and Improper Trading Practices
The SFO's dual civil and criminal regime targets insider dealing, false trading, price rigging, stock market manipulation and the disclosure of false or misleading information. This topic identifies the conduct and the consequences.
Practice by topic
Jump straight into free practice questions for any single HKSI Licensing Examination Paper 1 (Regulation) topic.