Hong Kong bans gifts as investment incentives
Hong Kong has banned the use of gifts by intermediaries as incentives to make investments.
The measure comes into force on September 4. The investment regulator, the Securities and Futures Commission (SFC), said that investors should focus on a product’s features and risks, but could be distracted by the prospect of receiving a new household product or piece of technology.
“Base your investment decisions on whether the transaction matches your investment objective and risk appetite, and if it is suitable for you in terms of your personal circumstances.
“Never make any commitment for the incentive on offer,” said the SFC in a consumer column published on its website under the name Dr Wise.
Discounts to product charges and fees are not affected by the ban, however.
The full Dr Wise article can be read by copying the following link into your browser:
www.invested.hk/invested/en/html/section/dr_wise/2010articles/gifts_aug10.html