SFC licensing and compliance hints – Apr 2013

Licensing short-cuts for representatives: If someone prefers not to wait eight weeks to get a representative licence, for example because they need to start regulated activities as soon as they join a licensed corporation, they can apply for a provisional licence at the same time, in which case they would usually get SFC approval to commence regulated activity within about a week. The process is simple. You just need to check the right box on the cover page of the SFC Form 3 and pay an additional HK$800 (on top of the normal representative licence application fee).

As the name suggests, the first licence is only “provisional”, and should be replaced by a “full/normal” licence after the SFC has finished assessing the main application (which could take another seven weeks). A provisional licence will be revoked if the SFC decides for any reason not to issue a “full/normal” licence to the person.

If the person has not passed HKSI Paper 1 by the time their provisional licence application is filed, they can ask the SFC to impose a licensing condition which allows them six months to pass the exam.

There is no provisional licence arrangement for responsible officer applicants.

Let’s talk about CPT: As the first quarter of 2013 is already behind us, it is time to remind all licensed individuals to plan ahead to meet their 2013 CPT requirements in order to avoid a year-end rush. Internal training can be counted for these purposes provided it meets the SFC’s requirements which are set out in the Guidelines on Continuous Professional Training.