Hong Kong SFC Issues 9-Year Ban & $44,000 Fine on ex-HF Asset Management (HFAM) Responsible Officer Tong Ho Yin for Failing to Act in Best Interests of Funds & Manage Conflicts of Interests (Loan & Stock Lending) Resulting in $3.2 Million Losses Representing 86% of Net Asset Value (NAV)
17th July | Hong Kong
The Hong Kong Securities and Futures Commission (SFC) has issued a 9-year ban & $44,000 (HKD 350,000) fine on ex-HF Asset Management (HFAM) Responsible Officer Tong Ho Yin for failing to act in best interests of funds & manage conflicts of interests (loan & stock lending), resulting in $3.2 million losses (HKD 25.6 million) representing 86% of Net Asset Value (NAV). Hong Kong SFC (16/7/25): “The Securities and Futures Commission (SFC) has prohibited Mr Tong Ho Yin, a former responsible officer (RO) of HF Asset Management Limited (HFAM), from returning to the industry for nine years from 16 July 2025 to 15 July 2034. The SFC also fined Tong $350,000 (Notes 1 to 3). The SFC’s investigation revealed that during Tong’s tenure as RO, HFAM failed to act in the best interests of a fund under its management and to properly manage conflicts of interest when entering into loan and stock lending agreements for the fund on three separate occasions between May 2017 and December 2018. HFAM’s misconduct was evident in its repeated failures regarding these arrangements, all of which ultimately defaulted. These failures culminated in significant financial losses of $25.6 million for the fund amounting to 86% of its net asset value. The SFC considers all of HFAM’s recurrent failures were attributable to Tong’s failure to discharge his duties as an RO and a member of the senior management of HFAM.” More info below:
“ Hong Kong SFC Issues 9-Year Ban & $44,000 Fine on ex-HF Asset Management (HFAM) Responsible Officer Tong Ho Yin for Failing to Act in Best Interests of Funds & Manage Conflicts of Interests (Loan & Stock Lending) Resulting in $3.2 Million Losses Representing 86% of Net Asset Value (NAV) “
In deciding the sanction, the SFC has taken into account all relevant circumstances, including:
- the severity and recurring nature of HFAM’s and Tong’s misconduct;
- the importance of sending a strong deterrent message to the industry that the SFC will not tolerate substandard conduct in fund management practices;
- Tong’s otherwise clean disciplinary record; and
- Tong’s financial situation (Note 4).
Notes:
- Tong was accredited to HFAM and approved to act as its RO for Type 9 regulated activity between 27 August 2014 and 31 January 2019. Tong is currently not licensed by the SFC.
- On 7 October 2021, the SFC issued a restriction notice to HFAM, prohibiting it from carrying on any regulated activities. Please see the SFC’s press release dated 7 October 2021.
- HFAM subsequently ceased business effective from 4 August 2022. Its licence with the SFC was revoked on 7 July 2023.
- But for Tong’s financial position, the SFC would have imposed a $700,000 fine against him.
A copy of the Statement of Disciplinary Action is available on the SFC website
Hong Kong SFC Issues 9-Year Ban & $44,000 Fine on ex-HF Asset Management (HFAM) Responsible Officer Tong Ho Yin for Failing to Act in Best Interests of Funds & Manage Conflicts of Interests (Loan & Stock Lending) Resulting in $3.2 Million Losses Representing 86% of Net Asset Value (NAV)
Sign Up / Register
Caproasia Users
- Manage $20 million to $3 billion of assets
- Invest $3 million to $300 million
- Advise institutions, billionaires, UHNWs & HNWs
Caproasia Platforms | 11,000 Investors & Advisors
- Caproasia.com
- Caproasia Access
- Caproasia Events
- The Financial Centre | Find Services
- Membership
- Family Office Circle
- Professional Investor Circle
- Investor Relations Network
Monthly Roundtable & Networking
Family Office Programs
The 2025 Investment Day
- March - Hong Kong
- March - Singapore
- July - Hong Kong
- July - Singapore
- Sept- Hong Kong
- Sept - Singapore
- Oct- Hong Kong
- Nov - Singapore
- Visit: The Investment Day | Register: Click here
Caproasia Summits
- The Institutional Investor Summit
- The Investment / Alternatives Summit
- The Private Wealth Summit
- The Family Office Summit
- The CEO & Entrepreneur Summit
- The Capital Markets Summit
- The ESG / Sustainable Investment Summit
