The Asia brokerage arm of the UK bank has been fined a total of HK$7.3m (US$934,200) for several internal control failures including the self-matching of 370 derivative warrants (DWs).
The Securities and Futures Commission (SFC) and the Stock Exchange of Hong Kong (SEHK) have imposed two penalties on HSBC of HK$6.3m and HK$1m, respectively, for self-reported breaches, according to two announcements today (3 March). HSBC Securities Brokers (Asia) ( ‘ HCCB ’ ) , the liquidity provider of Hong Kong-listed structured products issued by HSBC, erroneously self-matched 370 DW orders on 22 May 2020, after its market making engine restarted after the lunch trading break.