Amid the regulatory environment emphasizing "strengthening fundamentals and strict supervision," compliance remains the lifeline for securities firms to achieve sustainable growth. Boc International (China) Co., Ltd. (Boc International) has upheld risk and compliance as its bottom line, implementing the "Five Dos and Five Don'ts" of financial culture with Chinese characteristics. Through comprehensive planning and targeted measures, the firm continues to refine its compliance management framework, reinforcing a robust compliance culture that supports stable operations.
A solid compliance management system relies on well-defined policies and stringent control mechanisms. Since the beginning of the year, Boc International has aligned with the latest regulatory requirements and industry best practices, issuing the "Enhanced Compliance Management Plan for Branches." This plan establishes a three-tier governance structure—headquarters coordination, first-tier institution supervision, and second-tier branch execution—clarifying responsibilities across levels to ensure synchronized business expansion and compliance oversight.
Focusing on employee misconduct prevention, Boc International has implemented a three-pronged mechanism combining "policy constraints, behavior monitoring, and disciplinary deterrence." The firm revised guidelines such as the "Employee Misconduct Management Policy" and "Employee Disciplinary Measures," while conducting regular behavior audits. It introduced surprise inspections to enhance process control, targeting high-risk activities like unauthorized trading and client account manipulation, with strict penalties for violations. Internal controls were further optimized by clarifying departmental roles and addressing incompatible duties to mitigate operational risks.
Digital transformation plays a pivotal role in boosting compliance efficiency. Boc International leverages technology to build an intelligent compliance monitoring system. Key initiatives include developing platforms for detecting unauthorized trading and employee misconduct, integrating multi-dimensional data—such as employee accounts, transactions, and fund flows—using big data and AI. These tools enable real-time alerts and end-to-end surveillance, overcoming traditional challenges like fragmented data and delayed detection.
In anti-money laundering (AML) and abnormal transaction management, the firm updated policies and monitoring metrics in line with new regulations, digitizing client identification and risk classification for smarter risk assessment.
Boc International fosters compliance awareness through a multi-dimensional training system featuring regular communications, targeted workshops, case studies, and tailored programs. Monthly "Compliance Bulletins" summarize regulatory updates and internal cases, while quarterly training sessions—delivered via webinars, simulations, and scenario analyses—enhance frontline and managerial staff’s compliance capabilities. External collaborations and mentorship further sharpen the compliance team’s expertise. Regular警示教育大会 (warning education sessions) dissect violations like unauthorized trading and client fund mismanagement, reinforcing lessons learned.
The firm reaffirmed its commitment to elevating risk and compliance standards, embedding compliance into business operations to safeguard high-quality development.
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