Choice, Perseverance, and Striving for Excellence
Loretta Fong Rises to Position of Partner at International Accounting Firm in 11 Years

Many people persist in their chosen path once they make a decision, and Loretta Fong (93/CC/Business Administration) serves as a prime example of this commitment. She attributes all her success to a single word - perseverance. She started out as an accountant and eventually became a partner in her company. She was even elected as the President of the Institute of Certified Public Accountants. This same persistence applies to the yoga practice she has been dedicated to for over a decade. She has never contemplated switching professions or jobs. While outsiders may perceive her unchanging career trajectory as monotonous, she finds immense joy in it. "Perhaps it's similar to yoga. Even though you keep repeating the same pose, each time it offers a different experience. As long as you can discover what makes it unique, you can naturally maintain your commitment."

Loretta's affinity with accounting begins with her enrolment in CUHK's Faculty of Business Administration. She said, "In the first year, there wasn't a need to choose specific subjects. Instead, students were given an overview of various fields like accounting and management. After being introduced to accounting, I found it a very practical subject and fell in love with it within two months. Some of my classmates had studied accounting in high school, so they didn't need to start from scratch. However, as a beginner, I was able to achieve results comparable to theirs. So in my second year, I chose accounting as my major."

When most people think of accounting, they associate it with a multitude of cold and lifeless numbers, but the alumna of CUHK takes a different perspective. "Accounting is essentially a business language. Every set of figures carries its own unique meaning, and delving into the implications of these numbers makes for a fascinating process. The person who invented the concepts of 'debit' and 'credit' must have been exceptionally intelligent, as these ideas could precisely mirror the entire financial state of a company on a balance sheet. Behind the discipline of accounting lies a vast realm of knowledge. Beyond merely managing a collection of figures, it is an art form that calls for a myriad of judgments. Through this intricate process, one can uncover the true essence of a company's operations. It is anything but easy."

Career-long commitment to one employer

Passionate about accounting, Loretta joined Arthur Anderson (which merged with PwC in 2002) after graduation. Since entering the workforce, Loretta has stayed with the same company, emphasising that she has never considered switching jobs. "During my recruitment interviews with university students every year, I have been asked why I am able to work at the same company for so long. My answer is, if you find this job interesting, you won't entertain the idea of changing. I must also acknowledge that the accounting industry in Hong Kong has indeed flourished over the past 30 years. Coincidentally, when I entered the profession, Mainland Chinese companies were just starting to go public in Hong Kong. As the Mainland's economy soared, many local accountants headed north to work, simultaneously leveraging Hong Kong's international advantages to help Mainland companies expand globally. This benefited the Hong Kong accounting industry and thus encouraged me to remain and develop myself."

Loretta (second from right) studied at the University of Illinois Urbana-Champaign in the United States, where she earned a Master's degree in accounting.

She ascended to the position of partner in just 11 years, a speed unmatched by many. Her secret, she says, is simply persistence. "When I started, I met many high-quality colleagues, but some eventually left because they didn't persist. I believe the most important thing is to find joy in your work, to wake up every day with the motivation to go to work. It's this passion and interest in the job that has been my biggest driving force."

After persevering in the industry for over 20 years, Loretta reflects on the biggest change she has witnessed, and unequivocally attributes it to technology. "In the beginning, we worked on paper, without computers on our desks. But today, everything has gone completely digital, with various tools aiding auditors who utilise software for analysis, significantly enhancing work efficiency. The industry, as a whole, is rapidly digitised.' When asked about the ChatGPT trend, she expresses no concern about accounting work being replaced by artificial intelligence. 'As mentioned earlier, each number carries its own significance, and it relies on human judgment to imbue these numbers with meaning. This is an accountant's greatest contribution. Given the current situation, ChatGPT's capabilities still revolve around data collection and analysis. I haven't seen any indication that it could replace accountants."

Loretta Fong delivers the opening speech at the CPA Congress as the President of the Hong Kong Institute of Certified Public Accountants during its 50th anniversary celebrations this year.

Staying current and adapting to trends

Loretta has actively engaged in the activities of the Hong Kong Institute of Certified Public Accountants and was elected as its president last year. The reason behind this is her observation of a growing negative perception of the accounting profession in recent years. "The public has labelled the industry as one with long working hours and meaningless work. Some even believe that auditors' reports do not bring positive value to businesses. I aim to counter these assertions because I firmly believe in the value of accountants' work. For example, in recent years, sustainability standards have become prevalent among businesses, involving stakeholders from various industries such as engineering, environmental protection, and conservation. However, there are also accounting-related aspects involved, which pertain to the collection, compilation, and analysis of non-financial data necessary for sustainable development. This process truly reflects the value of enterprises. The control systems adopted internally fall within the expertise of the accounting profession. They reflect the corporate governance situation and are tasks that accountants are well-qualified for. This demonstrates that the accounting industry keeps pace with the times and aligns with evolving trends. This is also the primary reason why I enjoy remaining in this profession."

Loretta admits being a semi-public figure has trained her in many aspects.

In addition to improving the industry's image, the institute also aims to encourage more young people to join the profession. "We hope to explain to them early on so that they understand what the accounting profession is all about. It is important for industry leaders to speak at secondary schools and universities. On the other hand, we need to encourage more accounting firms to recruit young interns to let them understand how the industry works. Through working with clients, they can learn that accounting work is meaningful and interesting."

Loretta believes that opportunities still abound in the Mainland market and that young people should consider developing their careers there. "Currently, Hong Kong has about 47,000 accountants, while the Mainland has only over 200,000. Based on demographic proportions, the number of accountants on the Mainland is much smaller than that in Hong Kong. It's not difficult to imagine that there is an extensive scope for Hong Kong accountants to develop their careers in the Mainland. Hong Kong students are adaptable, but they may not have the chance to experience the Mainland environment. If you aspire to develop in the Mainland, you need to open your mind and experience the conditions there. Auditing work is not just about completing reports using a computer; it also demands that you use your eyes to clearly grasp how businesses operate. So, you should gain more experience, visit places, and you will naturally discover many things that are worth learning."

Loretta frequently undertakes professional exchanges in China and finds abundant opportunities in the field of accounting.

For students who want to enter the accounting profession, Loretta's advice is that they open themselves to learning and accepting new things. "To progress in the accounting profession, you must keep learning and understand things more." She also quips that she always prefers to hire graduates from her alma mater. "CUHK's accounting programme is well-designed, enabling students to learn a lot. It's true that CUHK graduates have a skills advantage. Furthermore, CUHK students are characterised by their high integrity and lack of scheming thoughts. These qualities are essential for the accounting profession. When I encounter job applicants from CUHK, I do tend to give them bonus points."

Loretta (front row, centre) on the day of her graduation from The Chinese University of Hong Kong. She commends CUHK for its well-structured accounting programme, noting that its students have an advantage in skills.

Persistence-driven yoga coach

Loretta said that among those currently studying accounting, female students outnumber their male counterparts by a ratio of six to four. "I've heard that this ratio will increase to seven to three. While women seem more attentive and suitable for accounting work, the number of women eligible for promotion to partners in their companies is relatively small, comprising about 30% to 40%. In other words, while many women have entered the profession, their attrition rate is also high. After all, the work hours in the accounting profession are considerably long, and women need to balance family and raising the next generation. Because of this, many outstanding female accountants have left the profession. I don't have heavy family burdens, so it's easier to allocate my time. But I still value work-life balance and know how to relax and unwind through cultivating personal interests.'

Yoga is one of her hobbies, which she has been practising for over a decade. She has even obtained a coaching certification. "I started yoga when it was becoming popular. I had heard about its benefits for both the body and mind, so I gave it a try. But for someone who had no exercise habits, I couldn't even walk to the locker room without holding onto the railing after my first class. However, I was inspired by my fellow yoga classmates, some of whom were older and had larger bodies than me, yet they could still pull it off. Why couldn't I? So, I kept going and gradually improved. The biggest advantage of yoga is that it requires extreme focus, allowing me to completely forget about my work worries and relax both mentally and physically. I believe this is the reason why I have persisted with it."

In recent years, Environmental, Social, and Governance (ESG) has become a popular topic in the industry. Loretta believes ESG reporting is rapidly becoming an essential skill for accountants.

Loretta Fong’s Profile

• 1993‧Graduated with Bachelor of Business Administration
• 1994‧Graduated from Master in Accounting Science at University of Illinois Urbana-Champaign
• 1994‧Accountant, Arthur Andersen
• 2005‧Partner, PwC Mainland China and Hong Kong
• 2016‧Board Member, Ocean Park Corporation
• 2019‧Council Member and Treasurer, The Hong Kong Polytechnic University
• 2019‧Vice President, Hong Kong Institute of Certified Public Accountants
• 2021‧President, Hong Kong Institute of Certified Public Accountants
• 2023‧Sustainability Deputy Leader, PwC Mainland China and Hong Kong

"CU Alumni Magazine" Video Interview: https://youtu.be/SSwGiGZ-_bY (Chinese only)

Published in ＂CU Alumni Magazine＂ Issue 115 by Alumni Affairs Office 2023

Read online: CU Alumni Magazine Issue No. 115 (Chinese Version Only)
pdf version: http://alumni.cuhk.edu.hk/en/magazine/categories/pdfversion/202309
ISSUU version: http://www.alumni.cuhk.edu.hk/magazine/issuu/