W. Falcon Asset Management (Asia) Ltd’s license revoked by the Hong Kong SFC

Hong Kong SFC

The Hong Kong Securities and Futures Commission (SFC) has just announced that it has revoked the license of W. Falcon Asset Management (Asia) Limited (Falcon) for several different types of failures.

The regulator has already issued a Restriction Notice on Falcon to safeguard the assets of the firm and its clients, and to protect the interest of its clients and the investing public, back in 2017. This happened after a self-report by Falcon that its liquid capital had dropped below the required level. 

Falcon window-dressed its month-end liquid capital by including in its liquid capital computation the amount of certain cheques, which were subsequently dishonoured. This practice was adopted from the time of Falcon’s SFC license application.

The regulator considers that the company’s failures were in breach of the various regulatory provisions including the Code of Conduct.

The regulator has also informed that it is not sure that the company could carry on regulated activities competently and called into question its properness to remain licensed by the SFC.

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