HK Stock Market Move | STANCHART (02888) fell by more than 3%. The departure of the former CFO has limited impact on the group's operations. JP Morgan still maintains a positive investment outlook.

STANCHART (02888) fell more than 3%, dropping 3.71% to HK$186.8 as of press time, with a trading volume of HK$155 million. In terms of news, Morningstar released a research report pointing out that STANCHART's CFO Diego De Giorgi has resigned with immediate effect, and his position will be temporarily taken over by Deputy CFO Peter Burrill. Morningstar believes that this unexpected negative news of management change will raise concerns in the market about personnel changes and succession plans at the bank. However, the CEO, Bill Winters, has not indicated any plans to retire, and Morningstar believes that Standard Chartered will continue to focus on executing its "Fit for Growth" strategy and achieve its goals under the leadership of Peter Burrill, therefore the impact on its operations is expected to be limited. JP Morgan stated that given Diego's good reputation among investors and his key role in recent financial milestones achieved by Standard Chartered (including large-scale share repurchases and ROTE improvement), his unexpected departure is expected to result in a low to mid-single-digit decline in the bank's stock price. Nevertheless, JP Morgan maintains a positive investment outlook, as the bank's solid performance is attributed to continued strategic transformation and favorable currency environment.