MARKET INFRASTRUCTURE

Market Infrastructure

SFC Warns Credit Rating Agencies of Model Risk

By Garima Chitkara | 30/05/2019

The SFC highlighted insufficient validation of credit rating models, inconsistencies between models and methodology, and inadequate validation of third-party models.

Market Infrastructure

PBOC Mulls Shift to Market Based Lending Rates

By Editors | 30/05/2019

PBOC governor Yi Gang has suggested discontinuing benchmark lending rate announcements to study the resulting loan rate trends, as a possible step towards market-based rates.

Market Infrastructure

ISDA Chief Says the End is in Sight for IBOR Fallbacks

By Manesh Samtani | 30/05/2019

ISDA chief Scott O’Malia says one year from now, robust fallbacks should be in place for derivatives contracts referencing LIBOR and other IBORs.

Market Infrastructure

Asia Pacific Firms Lagging in LEI Adoption – FSB

By Manesh Samtani | 30/05/2019

Although widespread coverage has been achieved in OTC derivatives and securities markets, LEI adoption remains uneven across jurisdictions, with Asia Pacific lagging.

Market Infrastructure

Philippines Revises Framework Governing Bank Auditors

By Editors | 29/05/2019

The revised framework lays out criteria for banks to select external auditors as well as key guidelines for auditors in their assessment of banks.

Market Infrastructure

Indonesia Unveils Payment System Roadmap, Launches QR Code System

By Editors | 29/05/2019

Bank Indonesia’s roadmap for the payments system includes plans for open banking, real-time retail payments and a digital ID system.

Market Infrastructure

FSB Works to Develop Cyber Incident Best Practice Toolkit for FIs

By Manesh Samtani | 29/05/2019

In a progress update to the G20, the FSB said it is working to identify and develop effective practices for financial institutions to respond to and recover from cyber incidents.

Market Infrastructure

ISDA Proposes Further Definition Changes to Improve CDS Market

By Editors | 29/05/2019

The new proposal will amend the definition of “Outstanding Principal Balance”, which determines the principal amount of a bond or loan that must be delivered to physically settle a CDS contract.

Market Infrastructure

CFFEX to Set Aside 20pc of Fee Income as Risk Reserve

By Editors | 29/05/2019

Effective from 24 May, the CFFEX will set aside 20 percent of its service fee income as risk reserves, to be maintained in a special account and managed under separate accounting.