Market Infrastructure

NGFS Publishes Climate Risk Best Practices of Supervisors, Banks

27/05/2020

Most banks have undertaken an operational commitment towards greening their balance sheets, consider their actions to be part of their corporate social responsibility or risk mitigation measures.

Capital / Liquidity

Japanese FIs to Be Granted Easier Access to State Aid

27/05/2020

Applicant financial institutions will no longer have to set profit targets as a condition for receiving state aid, and the 15-year repayment deadline will be scrapped.

Big Picture

Higher Skin-in-the-game Linked to Lower CCP Model Risk

27/05/2020

A new BIS paper finds that a higher amount of CCP skin-in-the-game is associated with more careful risk modelling and less frequent margin breaches.

Enforcement

Australia Eases Disclosure Rules to Prevent Opportunistic Class Actions

27/05/2020

Heightened uncertainty amid the Covid-19 crisis exposes companies to the threat of opportunistic class actions if their earnings forecasts are found to be inaccurate.

Market Infrastructure

China to Revise Central Bank Law This Year

27/05/2020

The revisions will likely expand the PBOC’s statutory responsibilities to include macro-prudential management, financial risk oversight, financial infrastructure and financial holding companies.

Capital / Liquidity

Philippines Approves ‘Bad Bank’ Bill Amid Rising NPLs

27/05/2020

The ‘Financial Institutions Strategic Transfer Act’ allows the creation of asset management companies to buy up non-performing assets from financial institutions.

Securities / Derivatives

CORRECTED – HKEX to Launch New Derivatives Products

27/05/2020

Subject to regulatory approval, 37 new futures and options contracts based on MSCI Asia and emerging markets indices will be launched in Hong Kong.

Capital / Liquidity

FSS Korea Directs Banks to Defer Business Expansion

27/05/2020

FSS governor Yoon Suk-heun said financial firms should brace for a “prolonged fallout of Covid-19” and focus on boosting internal reserves and loss absorbency capacity.

AML / KYC

Are Criminals Winning at Covid-19? Not Without a Fight

27/05/2020

Advances in digital identification technology can mitigate the unpleasant rise in pandemic-related financial crime. A top regulator, banker and lawyer join forces with Refinitiv to discuss how.