SFC shares updates with securities industry on scam prevention and cybersecurity

The Securities and Futures Commission (SFC) today hosted a Brokers' Forum under the title "Defend Your Business, Outsmart the Scammers" for more than 600 industry participants to familiarise themselves with the latest supervisory observations and regulatory updates on cybersecurity and anti-scam measures, as part of the Commission's ongoing dialogue with the securities industry.

The forum featured a panel discussion in which representatives from the SFC, the Commercial Crime Bureau of the Hong Kong Police Force, the Investor and Financial Education Council (IFEC) and the securities industry shared their perspectives on joint actions against financial scams, including emerging scam typologies and approaches to prevention and regulatory focuses.

Other highlights of the forum included a presentation by the Cyber Security and Technology Crime Bureau of the Hong Kong Police Force on strengthening cyber resilience and preventing scams in the brokerage sector, and a briefing by the SFC on its anti-scam outreach initiatives.

In his welcoming remarks, Dr Eric Yip, the SFC's Executive Director of Intermediaries, said: "The SFC-hosted Forum brought into focus the importance for brokers to adopt robust measures to protect themselves and their clients' assets from technology-enabled financial crimes."

"We will continue our regular dialogue with stakeholders and jointly examine the implication of technological advancement and associated risks for the securities industry. This regulatory approach reflects our commitment to promote information sharing and raise industry awareness of scam-related risks, strengthen market resilience and support the sustainable development of Hong Kong's securities market," Dr Yip added.

In his opening keynote address, the Hon Robert Lee, Legislative Councillor for the Financial Services Functional Constituency, said, "This is the fourth Brokers' Forum organised by the SFC. The forum aims to strengthen communication between the industry and regulators, as well as facilitate the exchange of views on matters of market concern. The theme of this forum is combating financial scams. Given that online investment scams resulted in losses of $3.58 billion last year, the Legislative Council has also been actively supporting the Government in enhancing the effectiveness of anti-scam efforts. It is hoped that law enforcement agencies, regulators, IFEC, and the industry will continue to work together to prevent scams."

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