Hang Seng Bank Limited (the “Bank”) is committed to maintaining and upholding high standards of corporate governance with a view to safeguarding the interests of shareholders, customers, employees and other stakeholders. The Bank has followed the module on “Corporate Governance of Locally Incorporated Authorised Institutions” under the Supervisory Policy Manual issued by the Hong Kong Monetary Authority. The Bank has also fully complied with all the code provisions and most of the recommended best practices set out in the Corporate Governance Code contained in Appendix 14 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (“HKEx”) (the “Listing Rules”). The Bank has taken into account the new requirements of the Listing Rules which impose, among others, greater demand on the Board or the Nomination Committee when appointing Independent Non-executive Director , which took effect on 1 January 2019, when making necessary disclosure.
Further, the Bank constantly reviews and enhances its corporate governance framework, by making reference to market trend as well as guidelines and requirements issued by regulatory authorities, to ensure that it is in line with international and local corporate governance best practices. Since the third quarter of 2019, the Bank is in the process of implementing the “Subsidiary Accountability Framework” initiative introduced by the HSBC Group with an aim of simplifying subsidiary oversight framework, and strengthening and enhancing corporate governance. In addition, the Bank has also continued to embed “Ways of Working” Governance implemented since 2018 into the Bank’s Board and Board Committee governance for meeting effectiveness. “Ways of Working” Governance launched by the HSBC Group has been recognised by The Chartered Governance Institute in the United Kingdom by awarding the HSBC Group “Governance Project of the Year 2019”.