AML / KYC

Australian Police Launch Probe into Super Fund Early Release Fraud

07/05/2020

Five search warrants have so far been executed in relation to the fraud, and bank accounts containing AUD 120,000 in stolen super money have so far been frozen.

Securities / Derivatives

Charles Li to Step Down as HKEX Chief Executive Next Year

07/05/2020

Charles Li has been chief executive for over 10 years, and is credited with the launch of Stock Connect, Bond Connect, HKEX’s new listing regime and its dual class share system.

Enforcement

US SEC Penalises Bloomberg Tradebook Over Order Routing

07/05/2020

Bloomberg Tradebook let unaffiliated brokers make decisions about the routing of certain customer trade orders in a way that lowered its own costs, without informing affected customers.

Securities / Derivatives

SFC Defers IM Rules, Maintains 1 September for VM Requirements

07/05/2020

While variation margin requirements will still take effect from 1 September 2020 as planned, initial margin requirements for non-centrally cleared OTC derivatives will be deferred by one year.

Capital / Liquidity

APRA: Banks May Amend Loan Terms Without Full Serviceability Test

07/05/2020

APRA says banks may allow borrowers to change their loan conditions without conducting a normal serviceability assessment, but that such an arrangement should not exceed 12 months.

Securities / Derivatives

CBIRC Allows Banks to Offer Debt-to-equity Products to Investors

07/05/2020

Banks have already been using bond issuances and their own capital to carry out debt-to-equity swaps since 2016. They will now be allowed to offer these assets directly to investors.

Fintech / Regtech

Japan to Propose Easier Fintech Investment Rules for Banks – Report

07/05/2020

The proposal includes scrapping a requirement for bank holding companies to obtain FSA approval to acquire more than 15% of nonfinancial companies.

Securities / Derivatives

Singapore: HSBC Seeks Court Order to Replace ZenRock Management

07/05/2020

ZenRock is the latest Singapore commodities trader to come under scrutiny, for allegedly using the same cargo to secure financing from multiple banks.

Enforcement

SFC Fines Mega International Commercial Bank Over Sales Practices

07/05/2020

Mega did not properly assess clients’ investment objectives, risk tolerance levels and knowledge of derivatives, or ensure the suitability of its fund recommendations for clients.