Regulatory Alerts2021-03-16
Added · Updated
Focused Review on Incentive Systems of Front Offices in Retail Banks
The Hong Kong Monetary Authority issued this document to outline the findings of a focused review regarding incentive systems within the front offices of retail banks. The regulator emphasizes the critical need for authorized institutions to align their compensation structures with sound risk management and ethical conduct standards. This guidance aims to mitigate misconduct risks by ensuring that performance metrics do not encourage excessive risk-taking or unethical behavior among staff.
CIR
Current
Issue Date:
16 Mar 2021
20210316-1-EN.pdf (183.8 KB)
Topic:
Banking Conduct & Enforcement - Bank Culture
Group:
All Authorized Institutions
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