The Securities and Futures Commission published a report reviewing the performance of the Stock Exchange in regulating listing matters during the period from 2022 to 2023. During the review period, the Commission assessed the general operations, processes, and procedures of the Stock Exchange's listing department, and examined the Stock Exchange's performance in the following areas: how to handle cases where issuers do not comply with the disclosure requirements of the Listing Rules concerning important information, methods of dealing with fluctuations in issuers' share prices and volume, and the review of initial public offering applications.

In this latest review report, the Commission mentioned that the Stock Exchange has taken measures in response to the recommendations made in its 2022 report. At the same time, the Commission has identified several areas needing improvement for this year's review topics and has made further suggestions to the Stock Exchange. The Commission will work closely with the Stock Exchange to implement the relevant recommendations, thereby maintaining the integrity and robustness of the Hong Kong listing market and enhancing its resilience.

One common area for improvement is that listed issuers fail to comply with the rules regarding transactions and connected transactions that require disclosure. The Commission recommends that the Stock Exchange should take measures in addition to issuing guidance letters or warning letters to improve the compliance status and standards of issuers in this area.

When dealing with fluctuations in issuers' share prices and volume, the Stock Exchange referred several cases suspected of violating the Securities and Futures Ordinance to the Commission. The Commission suggested that the Stock Exchange should strengthen its internal procedures in this regard, including making inquiries, staff training, and follow-up actions after receiving negative confirmations from issuers.

The time taken by the Stock Exchange to process initial public offering applications has generally shortened in 2023. To enhance processing efficiency and transparency, the Commission and the Stock Exchange jointly optimized the timeline for the approval process of new listing applications in October.