Hong Kong financial firms brace for disruptions as protests intensify

[CityFarmer]

Is it wise to shot themselves in the foot, by blocking the financial center, even for a good reason? Sound like a child is hurting herself, to seek parent compromise. Well the parent have more children to take care of, instead of the ONE...

Hong Kong financial firms brace for disruptions as protests intensify

HONG KONG - Some Hong Kong financial firms advised staff to work from home on Monday or go to secondary offices after thousands of pro-democracy demonstrators blocked parts of the city and clashed with police.

Hong Kong police fired volleys of tear gas on Sunday to try to disperse protesters who have launched what they term a "new era" of civil disobedience to pressure Beijing into granting full democracy for the former British colony.

Deloitte Touche Tohmatsu, whose offices overlook one of the main protest sites, told staff to "be cautious and avoid large gatherings" and advised managers to consider measures including working from home, at clients' offices or at an alternative location, according to an email from the firm seen by Reuters.

Companies including consultants EY and CITIC Securities International, which are across the street from Hong Kong government headquarters where student activists started the protests, also told their staff to work remotely.

"In order to ensure continuity of our business operations, our colleagues based at the Citic Tower will work at One Island East office/from home, as a contingency in the event of any traffic disruption," EY said in statement.

DBS Group Holdings, Singapore's biggest bank, will temporarily suspend services at its branch in the Admiralty neighborhood because of instability in the area, a bank spokesman said.
...
http://www.todayonline.com/world/hong-ko...-intensify

[sgd]

every few decade hk have something like this.

With the ongoing spat of west vs china+russia south china seas and ukraine, maybe beijing sees a democratic hk in it's backyard as a "loose end" to tighten

[thor666]

I think the hongkong people are looking a lot further in the long term. China will not want a breakdown of economy in hk - this is a key reason for tightening power in the first place.

You can google the reason why hk people are out in full force - they feel that china is breaking its promise on universal suffrage.

Sent from my D5503 using Tapatalk

[sgd]

looks bad

http://www.youtube.com/watch?v=DbjNg2U8m8k#t=17

[Jacmar]

Here is the strategy road map:
1. Universal suffrage
2. Autonomous governing region
3. Referendum for breakaway ala scotland

You think china so stupid and give in? Brace for more volatility in hk mkt

[opmi]

^^ serious meh? Looks like some New Year Eve party.

Don't think HKees want independence. They are PRCs any way u see it.


Sent from my iPhone using Tapatalk

[yeokiwi]

^^ serious meh? Looks like some New Year Eve party.

Don't think HKees want independence. They are PRCs any way u see it.


Sent from my iPhone using Tapatalk

They had waited for 20 years and what they got was essentially the same deal. Instead of PRC approved candidate A, now they have PRC approved candidates A,B and C.
For such an affluent society, many Hkees will not accept it.

Actually, the risk of HK independence is low. They have no defence forces and no international recognition of rights for independence.

Although by granting HK the autonomy, it might have repercussions on the rest of china cities.

But, the person( C.Y. Leung?) who ordered the tear gas dispersion is definitely an idiot.

[LLS]

I read that HK only has 50 years of autonomy, hope they enjoy it while it lasts

[specuvestor]

China's plan is very simple: At fertility rate of ~1 HK demographics and citizen population make up will be very different 33 years from now

China can afford to be patient

But HK SAR cannot set a precedent for Macau SAR or the other 5 autonomous regions.

[greengiraffe]

Bankers say long unrest ‘will hurt HK’s status as financial hub
THE AUSTRALIAN SEPTEMBER 30, 2014 12:00AM

Paul Garvey

Resources Reporter
Perth
Fears unrest will erode HK’s statusSecuritymen try to clear a protester from outside the Hong Kong stock exchange as political unrest continues. Source: AFP < PrevNext >
••
EXPATRIATE Australian investment bankers who call Hong Kong home hope the growing unrest in the city won’t do long-term damage to the city’s reputation as the centre of Asian finance.

The ongoing demonstrations in Hong Kong, which have seen thousands of people take to the streets to protest against Beijing’s increased control of the territory’s elections, boiled over on Sunday when riot police fired tear gas into the crowds.

Watching the drama unfold have been bankers like Geoff Hill, a household name in Australian investment banking who has lived in Hong Kong for the past nine years.

Mr Hill believes the Chinese government will be eager to resolve the situation smoothly, given the potential damage that a crisis could do not only to the Hong Kong and Chinese economies, but also the negative message the protests send to the likes of Taiwan.

“They are very aware of the need to keep Hong Kong as a ­financial centre and keep Hong Kong as an example of how two systems can work, and also because of its strength basically as a free-trade zone of China,” Mr Hill told The Australian.

Hong Kong remains one of the world’s great financial centres, and Australian bankers like Mr Hill have long made a living connecting Hong Kong money to Australian companies.

So far there are no signs that Australian companies are avoiding Hong Kong as a result of the unrest, but Mr Hill knows the stature of Hong Kong relative to rival Asian financial hubs such as Singapore and Shanghai will depend on how smoothly and swiftly the situation is resolved.

“If this blows over in a week or so, I don’t think it will do irreparable damage to Hong Kong as a financial centre,” Mr Hill said.

“If, on the other hand, there’s not seen to be a preferred road to transition and if there is continued civil unrest and a continued blocking of the Hong Kong business district, then I think Hong Kong’s attraction as a finance centre in Asia will diminish.”

The ongoing protests, which continued to force the closure of numerous streets around government buildings in the city’s ­Admiralty district, took its toll on the Hong Kong stockmarket ­yesterday.

The benchmark Hang Seng index fell as much as 2.4 per cent, while the Hong Kong dollar fell for a sixth straight day to its lowest level since March.

Tom Gunnerson, managing director of Canaccord Genuity’s Hong Kong office, said the ­protests, which have been simmering away for several months, appeared to be building momentum.

Like many other companies, Canaccord Genuity advised its Hong Kong staff to stay home yesterday as a safety precaution.

“Longer term, any disruption and uncertainty like this isn’t good for business,” he said.

“This issue has been going on for ages and it seems to be heightening rather than subsiding.” Despite the latest unrest, Mr Gunnerson said Hong Kong continued to enjoy a strong advantage over mainland China when it came to finance.

“Hong Kong would have to be one of the easiest places in the world to do business because the political system and legal system established by the British makes it a very free and fair place to do business and start a business and invest,” Mr Gunnerson said.

“I don’t think you could say the same thing for mainland China at the moment. In 50 years it might be different, but right now you’d have to say that Hong Kong versus China, as a place to do business and invest capital, they’re vastly different in their risk profiles.”

And Travis Smithson, who runs the Hong Kong office of boutique broker Argonaut, said the company was pushing ahead with a roadshow in HK this week of Australian-listed Sino Gas & Energy and had not had meetings cancelled as a result of the disruptions.

Mr Smithson has never seen anything like the scenes of the past 24 hours during his 14 years in Hong Kong but believes it will take much more to cause any lasting damage to the city’s financial standing.

“Hong Kong is still the centre of financial markets in Asia,” Mr Smithson said.

“The great thing about Hong Kong is it’s a great business centre and business comes first.”