Securities / Derivatives

Bank of China to Partially Shoulder Investors’ Crude Oil Losses

08/05/2020

The move followed a determination by the Financial Stability and Development Committee that the bank was at fault for not following investment suitability principles.

India: Banks Agree to Extend Loan Moratorium to NBFCs

08/05/2020

RBI governor Shaktikanta Das has made clear that NBFCs are eligible for the loan moratorium being extended to other borrowers.

Market Infrastructure

China Scraps QFII, RQFII Quotas; Simplifies Outbound Remittance Rules

08/05/2020

QFII and RQFII investors will merely need to go through a registration process to invest in China. Requirements on outbound remittances and currency exchange have also been simplified.

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.