Hong Kong's securities regulator hit UBS with a fine for failing to keep proper track of its trading activities for clients.
The Securities and Futures Commission, or SFC, in Hong Kong fined UBS Securities Asia HK$4.5 million, according to a statement on its website. The SFC said the Swiss bank did not apply proper controls to log transactions and client consents.
The fine comes as Zurich-based UBS appeals an 18-month suspension from sponsoring initial public offerings in the territory, as finews.asia reported two weeks ago.
The SFC said its investigation into trading showed that the bank could only provide about half of its consent records relating to client facilitation trades carried out between June 2015 through June 2016.
As part of the resolution to the probe, UBS conducted a supervisory review to make sure client consents and their respective process is conducted properly and in accordance with regulatory requirements. The bank has also established revised controls for maintaining records of its trading facilitation.
