LE Paper 1 in Feb 2005
The pass rate of Paper 1 held on 19 Feb 2005 was 65%,
which is the highest to date. Figures 1 and 2 show the
distribution by scores of the exam results and the
overall topical correctness1 achieved in the examination.
Figure 1. Exam results distribution for Paper 1 - Feb 2005
Figure 2. Topical correctness for Paper 1 - Feb 2005
As shown in Figure 2, there has been a marked
improvement in the correctness rate of Topic 6 (Business
Operations and Practices). Of the five topics in which
candidates¡¦ performance has been most volatile, i.e.
Topics 4, 5, 7, 8 and 9, there have been improvements in
the correctness rates of Topics 8 (Other SFC Regulated
Activities) and 9 (Market Misconduct, Improper Trading
Practices and Compliance) when compared with the
previous month, but there has been a major decline in
candidates¡¦ performance in Topic 4 (Licensing and
Subsidiary Legislation) and Topic 7 (Securities, Options
and Futures) remains the weakest topic overall of the 9
topics in Paper 1. Candidates are advised to pay special
attention to these 2 topics, in particular Topic 7, when
preparing for the examination.
LE Paper 2 in Feb 2005
The pass rate of LE Paper 2
held on 19 Feb 2005 was 40%. Figures 3 and 4 show the
distribution by scores of the exam results and the
overall topical correctness achieved in the examination.
Figure 3. Exam results distribution for Paper 2 - Feb
2005
Figure 4. Topical correctness for Paper 2 - Feb 2005
Well Performed and Poorly Performed Subjects
Our analysis indicates that candidates performed well
in a number of subject areas:
• Front running;
• Requirements relating to issuance of contract
notes; and
• Money laundering and terrorist financing.
Candidates performed less well in questions relating
to the following subject areas:
• General knowledge of the
Companies Ordinance;
• Automated trading services; and
• Various classes of options trading
participants.
Candidates are recommended to carefully revise section 3
of Topic 1, section 7 of Topic 5, and section 2 of Topic
6 which cover these subject areas, particularly section
2 of Topic 6 which covers various classes of options
trading participants.
In addition, candidates are again advised to pay special
attention to Topics 1 (Regulatory Framework), 5 (Other
Securities Activities) and 6 (Options and OTC
Derivatives) of this examination which have the lowest
correctness rates.
LE Paper 6 in Feb 2005
The pass rate of LE Paper 6
held on 20 Feb 2005 was 31%. Figures 5 and 6 show the
distribution by scores of the exam results and the
overall topical correctness achieved in the examination.
Figure 5. Exam results distribution for Paper 6 -
Feb 2005
Figure 6. Topical correctness for Paper 6 - Feb 2005
Well Performed and Poorly Performed Subjects
Our analysis indicates that candidates performed well
in a number of subject areas:
• Principles of the Code of
Conduct;
• General knowledge of MPF products; and
• Segregation of duties under the Internal
Control Guidelines.
Candidates performed less well in questions relating
to the following subject areas:
• Transitional provisions of
the SFO.
• Corporate trustees of MPF schemes; and
• Supervision of trustees/custodians.
Candidates are recommended to carefully review
sections 2 and 4 of Topic 3 and section 11 of Topic 5
which cover these subject areas. However, candidates
should note that the transitional period under the SFO
ended on 31 March 2005 and consequently the transitional
provisions of the SFO mentioned above will no longer be
tested in this examination, beginning with the
examination to be held in April 2005.
As regards topical correctness, candidates'
performance in Topic 4 (Regulation of Intermediaries:
Business Conduct and Client Relations) improved
significantly, but there was an equally marked decline
in the correctness rate of Topic 3 (Regulation of
Intermediaries: Licensing and Subsidiary Legislation).
Candidates are advised to revise this topic carefully
before taking the examination.
Online Enrolment (e-booking)
In order to improve our enrolment procedures, the
HKSI launched an online enrolment system at the end of
February 2005. Candidates wishing to use this system
should take note of the following two issues.
- Candidates should ensure that all the required
information necessary to enrol is provided accurately
and in full. Once their application has been submitted
and received by the HKSI, candidates cannot make any
changes to their selected examination paper(s) and/or
session(s). Incomplete and/or incorrect information
provided by candidates may in addition delay the
application process, and in the worst case, may
prevent the HKSI from processing such applications.
¡@
- The HKSI's online enrolment (e-booking) system is
not a reservation system which provides cancellation
services and/or full refunds of examination fees. It
is an enrolment system which is subject to the same
conditions and procedures as the paper-based enrolment
forms. Once their application has been submitted and
received by the HKSI and their credit card details
have been approved, candidates cannot transfer their
selected examination paper(s) and/or session(s)
although they may be eligible for a partial refund of
their examination fee(s), subject to the terms and
conditions of the HKSI's
refund policy.
¹
The score system of topical correctness provides a
performance score for each topic, ranging from 0 to 1.
When all questions relating to the same topic are
answered correctly by all candidates, the topical
correctness score will be 1. Conversely, if all
questions relating to the same topic are answered
incorrectly by all candidates, the topical correctness
score will be 0.
