SFC/HKSI Joint Press Release - SFC Approves HKSI's New Licensing Examination

The Securities and Futures Commission and the Hong Kong Securities Institute are pleased to announce the approval of the HKSI's new Licensing Exam, scheduled for launch in March 2003.

The Licensing Exam has been developed to meet the needs of the new licensing regime under the Securities and Futures Ordinance (SFO), which is expected to commence in early 2003. With approval granted by the Academic and Accreditation Advisory Committee of the SFC, the Licensing Exam will replace HKSI's Foundation Programme Exam (FPE) and Financial Market Principal Programme Exam (PPE) as Recognised Industry Qualification and Local Regulatory Framework Paper for meeting the competence requirements in respect of the various types of regulated activities under the SFO.

The Licensing Exam is an enhancement of the FPE and PPE. It upgrades the contents of the two existing exams. It introduces subject specialization exam papers which deal with the respective regulated activities in the new single licensing regime. They cover the technical and the regulatory aspects of securities, derivatives, leveraged foreign exchange, corporate finance and asset management. Candidates can then choose specific exam papers related to the regulated activity that they wish to perform.
Existing licensees carrying on the same regulated activities will not be required to take the new exam. Similarly, persons who have passed the old exam not more than 3 years prior to the date of application need not take the new exam for the relevant regulated activity. For those who have only partially completed the old exam, HKSI will shortly announce details of the transitional arrangement to the new exam.

For a complete list of Recognised Industry Qualifications and further information on Competence, please refer to "What's New" posted on the Commission's website at www.hksfc.org.hk, under the "Intermediaries, Licensing and Investment Products - Licensing Related Matters" section.