The Hong Kong Securities and Futures Commission issued an official letter pointing out multiple deficiencies and substandard conduct in supervising licensed firms managing private funds and entrusted accounts. Many cases involve serious misconduct, posing a significant threat to investor interests and shaking public confidence in Hong Kong's market as a clean and stable international asset management center. The cases described in the letter involve violations in various areas, including conflicts of interest, risk management, investments within authorized scope, provision of information to investors, and valuation methods. The current responsibilities applicable to asset management companies in these situations are also listed. The Hong Kong Securities and Futures Commission stated that asset management companies should review the issues highlighted in the letter and take corresponding measures to correct any identified deficiencies.