Capital Regulation

Parliament passed a bill providing legal basis for bilateral netting of OTC derivatives contracts which are not centrally cleared.

Some characteristics of the TBTF challenge are specific to Asia, but these may be intractable from ‘winner-takes-all’ capitalism and national interests, writes industry veteran Jamie Lloyd Evans.

Microfinance companies can issue standardised debts such as bonds and ABS products up to 4 times net assets, compared to 0.5 to 3 times net capital previously.

While all banks will be able to continue lending in a 'pessimistic baseline' scenario, capital would fall under regulatory minimums in a 'very severe' scenario.

State Street found that 19% of Phase 5 and 6 firms are fully prepared for UMR compliance. Hedge funds are said to be the least prepared for compliance.

The FSC has also suspended the Shin Kong Life's chairman, who was responsible for the investment decisions that threatened the insurer's financial strength.

APRA has identified areas where reporting instructions can be clarified to facilitate the provision of timely information on bank liquidity risk.

Samsung, Mirae Asset, Hanwha, Hyundai Motor, Kyobo and DB will start publishing group-wide integrated disclosures from end-September.

The RBI has given banks until 30 June 2021 to upgrade their systems to automate all asset classification, provisioning calculation and income recognition processes.

ISDA and the CCDC will soon publish research making the case for yuan-denominated bonds to be used internationally as collateral.