A licensed person must conduct its business with integrity. (Example: Act in a fair and consistent manner, and treat all clients fairly, equitably and equally.)

A licensed person must conduct its business with due skill, care, and diligence. (Example: Ensure employees are suitably qualified for the positions in which they are employed, and there are sufficient resources to manage business activities and accommodate temporary absence of key personnel.)

A licensed person must take reasonable care to organise and control its affairs responsibly and effectively, with adequate risk management and supervisory system. (Example: Ensure key duties and functions are properly segregated. Establish a system of follow-up and review for delegated authority and responsibility. Ensure proper assessment and management of risks, and provision of timely and adequate information to senior management.)

A licensed person must maintain adequate financial requirements. (Example: Level of risk assumed by the stockbroking company must commensurate with its level of capital.)

A licensed person must conduct its business activities in a manner which contributes to the maintenance of a fair and orderly market. (Example: Implement policies and procedures to detect and prevent fraud, market rigging, and other improper activities.)

A licensed person must give priority to the client’s interest. (Example: Refrain from dealing for own account ahead of clients’ orders.)

A licensed person must pay due regard to the information needs of its clients, and communicate information to them in a way which is clear, fair, and not misleading. (Example: Must not deliberately mislead or attempt to mislead a client.)

A licensed person must manage conflict of interests fairly, both between itself and its clients, and between a client and another client. (Example: Ensure proper Chinese Wall policies and procedures are put in place to prevent the company or its employees from taking advantage of confidential price sensitive information.)

A licensed person must arrange adequate protection for clients' assets. (Example: Ensure clients’ monies and properties are credited into a trust account, and conduct reconciliation of trust account balance as per company’s records with bank statements.)

A licensed person must inculcate good compliance culture. (Example: Board of directors must establish clear compliance policies and procedures that extend to all operations of the company.)

A licensed person must deal with its regulators in an open and co-operative way. (Example: To promptly report information that is of material significance to the SC, and supply the SC with documents and information when requested and within the time limits of request.)