Regulatory Alerts2011-03-14
Added · Updated
Control Measures for Selling of ILAS Products
The Hong Kong Monetary Authority issued enhanced control measures for Authorized Institutions selling Investment-Linked Assurance Scheme products to ensure proper conduct and customer protection. The guidelines mandate rigorous staff competence, independent product due diligence, and strict suitability assessments including risk profiling and mandatory audio-recording of sales interactions. Additionally, the document prohibits promotional gifts, requires sales to occur in designated investment corners, and establishes clear protocols for management oversight, complaints handling, and disciplinary actions for non-compliance.