Merrill fined $450k by Hong Kong regulator

HONG KONG – The Securities and Futures Commission of Hong Kong (SFC) has fined Merrill Lynch $450,000 after an executive overvalued a trading book.

Between December 2007 and October 2008, a managing director inflated the price of a book of illiquid securities by approximately $25 million, concealing actual losses. The executive, who has not been named, illicitly used the bank’s computer systems to change volatility parameters in the valuation model.

According to a statement from the SFC:

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here:

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: