Despite the downbeat market, some jobs are still staying strong in Hong Kong

Global economic uncertainty is taking an obvious toll on employment in Hong Kong financial services this year, with cost controls creating redundancies and reducing recruitment, especially at international firms. But that’s not to say the market is completely moribund. A few functions, including those featured below, continue to experience comparatively healthy hiring, all be it typically at lower levels than last year.

Several overriding factors, in particular new regulations and the growing importance of mainland China, are helping to generate both replacement and new roles. Let’s take a look at some of Hong Kong’s hottest jobs and most sought-after skills.

Mandarin skills and China connections
As Hong Kong becomes a major centre for Chinese investments and off-shore yuan trading, mainland financial institutions are expanding in the territory, while international firms are seeking staff to service Chinese clients. Unsurprisingly, there has been a subsequent growth in demand for Mandarin skills and mainland networks; not only in investment banking, but also in asset management, consulting and private wealth.

Research analysts with a China focus, for example, are needed because more companies are looking at potential opportunities in PRC markets.

Apart from analytical, modelling and valuation skills, candidates should have experience covering China, with an understanding of its economic and regulatory frameworks. Yet there is a general shortage of China-enabled talent and professionals with these skills can typically command a compensation premium.

Liquidity risk
Professionals with expertise in liquidity risk are needed right now as banks strive to meet key Basel III milestones. Liquidity skills can be utilised by the risk management, finance and treasury functions in a bank, and strong candidates will likely have options to work with a range of organisations in Hong Kong over the next year. Demand isn’t just coming from banks; consulting firms are also looking to hire people to work on Basel III assignments.

Information technology
Two of the most popular finance-technology jobs at the moment are project managers and business analysts who have a deep knowledge of regulatory reporting, in particular Dodd-Frank and Basel III. But because these rules are relatively new, there are not many professionals with exactly the right background, so most firms are flexible and will employ candidates with similar regulatory knowledge and the ability to learn the new legislation quickly.

Anti-money laundering
The increased awareness of international terrorism and the perceived fragility of global economic systems have made financial institutions place further emphasis on regulating and unifying anti-money laundering (AML) procedures.

Hong Kong has developed policies that standardise account-opening documentation, surveillance and monitoring processes, and risk assessments. Large banks that offer a wide range of services employ substantial AML teams, and these largely escaped the worst of the recent redundancies.

Private banking
Wealth among high-net-worth people in Asia is growing and hence leading private bankers with a good book of business remain in demand. Stable governments, comparatively strong economies and ethical financial regulators are helping to drive Chinese, regional and global clients to both Hong Kong and Singapore. But a shortage of senior bankers is creating a tight job market and poaching from competitors is high.

In-house buy-side lawyers
Some asset managers, private equity firms and hedge funds are capitalising on market conditions and are hiring M&A or capital-markets lawyers from banks. Buy-side legal opportunities are growing in comparison with those at investment banks, which are finding it difficult to even get approval for replacement hires. Asset managers are increasingly looking for ways to diversify their risk and to stay one step ahead of a fluctuating market, and this is leading to legally-intensive investments, especially when deals come under scrutiny from different regulators.

This is by no means a comprehensive list – there are certainly other roles which are also relatively in demand, including compliance and global custody – yet it helps prove that hiring has not ground to a complete halt in Hong Kong. Both caution and opportunity underpin the current employment market: the need to comply with new regulatory regimes is creating jobs, as is the desire to make more money from Chinese clients and investments.

George McFerran, Managing Director, eFinancialCareers Asia-Pacific

About eFinancialCareers
eFinancialCareers, a Dice Holdings, Inc. company, is the leading global career site network for professionals working in the investment banking, asset management and securities industries. The website provides financial services professionals with job opportunities, job market news and analysis, salary surveys and career advice. Recruiters and employers can post jobs targeting specific sectors within the financial services industry, both buy-side and sell-side, and can search the resume database for highly qualified and specialized professionals. eFinancialCareers has a network of co-branded career sites with industry-leading trade publications and offers local websites in 19 markets and five languages primarily across North America, Europe, the Middle East and Asia-Pacific. Please visit www.eFinancialCareers.hk for more information.