Preface：Start securities business in Hong Kong financial center
香港第1类受规管活动的正式名称为“证券交易”。拟在香港经营该受规管活动的法团，应按《证券及期货条例》及香港证监会中介人发牌制度评估牌照、人员和业务条件。牌照只确认获准在所列条件下从事相应活动，不构成对机构、Endorsement of product or business performance。
one、 What is SFC License No. 1?
According to Hong KongSecurities and Futures Ordinance，Unless a statutory exemption applies，在香港经营证券交易业务或显示自己经营该业务通常须取得相应牌照。第1类活动可涵盖作为代理人或主事人买卖证券，但具体产品、underwriting、Placing、介绍、交易执行和客户资产安排仍须逐项界定。
two、 Core entry requirements：Are you ready?
公司注册与证监会发牌属于不同程序。申请人须按实际业务、集团控制、personnel、财务资源和内部监控准备申请，主要审查事项包括：
- Company subject requirements：The applicant must be a limited company registered in Hong Kong，Or a non-Hong Kong company registered in Hong Kong。
- capital requirements：According to business size，Licensed institutions need to maintain sufficient liquid assets，and meet the minimum paid-up share capital requirements，to cope with potential business risks。
- Competencies and suitability：This is the core of SFC approval。Applicants must demonstrate that they have sufficient financial resources、Effective internal control systems and compliant business operating procedures。
three、 key links：Screening and Appointment of Responsible Officer (RO)
持牌法团就每项受规管活动通常须有至少两名负责人员获证监会核准，At least one of them shall be an executive director，And there must be at least one responsible person available to supervise the business at all times。证监会按学历、Industry qualifications、Relevant industry experience、Management experience、本地监管知识和适当人选标准综合评估；不存在适用于所有第1类申请人的统一“3至5年”或固定面试条件。
Four、 Internal monitoring and compliance system construction
SFC’s compliance requirements for licensed institutions run through every aspect of daily operations.。A robust compliance system typically includes：
1. KYC and Anti-Money Laundering (AML) Processes
持牌法团须按适用的反洗钱法例及证监会指引实施客户尽职调查、Risk classification、持续监察和记录保存。法规要求的是有效且与风险相称的控制，并不统一强制采用自动化KYC；怀疑交易报告通常向联合财富情报组提交，不能笼统写为直接报送证监会。
2. risk management structure
持牌法团应建立与业务相称的书面风险管理和内部监控，并按适用规则接受财务审计及监管检查。控制范围、独立复核频率和压力测试应按实际业务、customer assets、产品及系统风险确定，不能以统一审计频率概括。
3. Conflict of Interest Management
Strict firewall settings，Ensure information isolation between securities trading business and other departments of the company，Prevent insider trading and profit transfer。
five、 Common application difficulties and “pitfall avoidance” strategies
in actual operation，Businesses often face the following challenges：
- Poor regulatory communication：SFC’s questions are frequently asked and professional.，If the reply is inappropriate，May cause the approval cycle to be extended indefinitely。
- Unreasonable architectural design：If the capital flow between the offshore company structure and Hong Kong licensed entities lacks clear compliance logic，Easily arouses regulatory suspicion。
- Insufficient allocation of compliance resources：Many start-up financial companies lack senior compliance officers，Difficulty coping with increasingly complex regulatory provisions。
港汇通可按约定范围协助梳理业务和牌照边界、申请材料及内部监控文件，and coordinate independent legal or other professional services。Personnel resume、律师资格和项目案例须以公司内部可核验证据为准；最终发牌决定由证监会独立作出。
six、 Conclusion：Compliance is competitiveness
第1类牌照只允许持牌法团在获批范围和牌照条件内从事证券交易活动。申请前应先确认产品、client、trading role、客户资产和跨境安排；获牌后仍须持续履行财政资源、internal control、declare、审计及重大变更通知等责任。
Application and Compliance Points：Hong Kong SFC License No. 1 Application Guide
The Hong Kong SFC License No. 1 Application Guide requires the scope of the license to be deduced from each regulated activity to be carried out.。underwriting、Broker、investment advice、Carte blanche management、Client assets and virtual asset arrangements should be presented separately，Avoid just writing "Apply for a license plate" without a verifiable business process。
Things to prepare and keep checking
- Create a “product-customer-behavior-license” matrix，Explain transaction execution separately、investment advice、Full management、underwriting、Margin margin trading and client asset arrangements。
- The personnel plan should describe responsible personnel coverage、executive Director、Reporting and bench relationships between core functional leaders and licensed representatives，and supported by verifiable empirical evidence。
- Application materials must include a financial resource forecast、Internal Controls and Compliance Manual、Client assets and banking arrangements、Outsourcing management、network security、Business Continuity and Complaints Mechanism。
- After obtaining the license, financial resources must continue to be met、declare、Customer due diligence、conflict of interest、Suitability、Record Keeping and Significant Change Notification Requirements。
Costs involved、capital、time limit、When personnel qualifications or cross-border business scope，Please refer to the legislation published by the competent authority at the time of submission、Forms and guidelines are subject to。
FAQ (FAQ)
ask：How long does it take to apply for an SFC No. 1 license?
answer：证监会没有对所有第1类申请保证统一的6至12个月周期。Actual time depends on application completeness、business complexity、Equity、personnel、financial resources、客户资产安排、Regulatory inquiries and applicant responses；顾问准备不能保证缩短审查。
ask：Does the RO (Responsible Officer) have to be a Hong Kong resident?
answer：证监会关注负责人员是否具备适当人选资格并能实际履职。每项受规管活动须有至少一名负责人员随时可监督业务，但这不等同于所有负责人员必须具有香港永久居民身份、香港居住地址或在全部办公时间常驻香港；具体履职安排须按业务和证监会审查确定。
ask：How does Hong Kong Huitong assist us in conducting compliance reviews?
answer：可按项目范围协助业务和牌照分析、申请材料核对、内部监控文件准备及问询演练。申请人和管理层须自行确认材料及履行职责，任何准备或培训均不能确保获牌或获牌后自动符合全部持续责任。
References：Hong Kong Securities and Futures Commission：Intermediary licensing system、Hong Kong Securities and Futures Commission：Licensing Manual、Hong Kong Securities and Futures Commission：Application procedure、Hong Kong Securities and Futures Commission：continuing responsibility、Hong Kong electronic legislation：Securities and Futures Ordinance。
learn more：Hong Kong SFC No. 4 license：Complete Guide to Application for Securities Consulting Business License。
