Securities / Derivatives

China Limits Scope of Allowed Derivatives Activities at Banks

07/12/2021

Domestic financial institutions can only enter into cross-border OTC derivatives transactions if they are used for hedging purposes.

Enforcement

Hong Kong SFC Imposes Lifetime Ban on Former Licensee

06/12/2021

The former licensee offered to invest for two students he taught, and then misappropriated their funds for his personal use.

Capital / Liquidity

MAS Urges Continued Prudence as Covid Uncertainties Linger

06/12/2021

The potential for further credit quality deterioration remains, especially if downside risks from the pandemic materialise and cause prolonged disruptions to economic activity.

Capital / Liquidity

PBOC Cuts RRR for Banks as Evergrande Uncertainty Looms

06/12/2021

The cut, effective 15 December, will free up an estimated CNY 1.2 trillion in banking system liquidity to support the economy and reduce financing costs for businesses.

Enforcement

HK Court Acquits Former HKEX Official in Bribery Case

06/12/2021

The court ruled that the prosecution did not prove that IPO consultant Richard Lum had bribed the former joint-head of HKEX’s IPO vetting team, Eugene Yeoh.

Fintech / Regtech

Thai SEC to Require Crypto Wallet Providers to be Licensed

06/12/2021

Custody and wallet providers required to obtain information identifying the account owners of wallets. New guidelines coming on the use of crypto in payments.

Securities / Derivatives

Citigroup Applies to CSRC for China Securities Licence

06/12/2021

Citigroup reportedly plans to also apply for a futures licence in China in the coming months.

Market Infrastructure

USD Cross-currency Derivatives to Use SOFR from 13 December

06/12/2021

Under part two of the second phase of SOFR First, interdealer brokers are asked to use SOFR instead of LIBOR in the USD leg of all newly-executed cross-currency derivatives.

Fintech / Regtech

HKMA Launches Enhanced Competency Framework on Fintech

06/12/2021

Banks are “strongly encouraged” to adopt the ECF-Fintech as part of their overall efforts to support the professional development of employees.