Financial sector still a top draw for talent despite dwindling market turnover
Growth opportunities from cross-border trading schemes encourage firms to expand hiring, say analysts
The number of licensed brokers and fund managers in Hong Kong reached a record high of 42,571 by the end of September this year despite the fact that many of the brokerages and fund houses are not exactly in the pink of health and are grappling with dwindling revenue.
But the poor outlook has not deterred job aspirants from joining the industry, with the headcount growing 3.2 per cent from a year ago, a record since the new license regime started in April 2003, according to Securities and Futures Commission data.
During the three months between July and September, the SFC received as many as 2,278 applications from candidates wanting to be brokers, fund managers or financial advisers, up 25.4 per cent from the previous quarter but down 5.7 per cent from the same quarter last year.
What makes this even more interesting is that it came at a time when many brokerages were dealing with dwindling commission income after the average daily turnover for Hong Kong stocks during the first nine months of this year fell by nearly 42 per cent year-on-year to HK$67.8 billion.
Market analysts said that the bullishness in the sector was largely due to the growth optimism and business opportunities from the various cross-border trading schemes.
The Shenzhen and Hong Kong Stock Connect, launched earlier this month, allows international investors to trade 881 Shenzhen listed stocks and mainlanders to trade 417 Hong Kong stocks. The Shenzhen launch followed the debut of the Shanghai and Hong Kong Stock Connect in November 2014.