Enforcement

SFC Bans Two Individuals for Window-Dressing Scheme

17/12/2019

For 3 years, the month-end liquid capital of W. Falcon Asset Management was falsely inflated with amounts on cheques that were later dishonoured.

Securities / Derivatives

NZ FMA Identifies Weaknesses in Fund Custody Arrangements

17/12/2019

An FMA review found that custody administration tasks are often being delegated back to fund managers, which weakens the separation of functions and duties.

Securities / Derivatives

CFETS Rolls Out Foreign Currency Pledged Repo Business

17/12/2019

The move is aimed at reducing the costs of foreign currency financing and diversifying foreign currency financing instruments.

Securities / Derivatives

SFC to Allow Hong Kong ETFs to Invest in Overseas Master ETFs

17/12/2019

The SFC will authorise index tracking feeder ETFs that want to invest in an overseas-listed, non-SFC authorised master ETF on a case-by-case basis.

Securities / Derivatives

CSRC Issues Pilot Rules for Spin-Off IPOs by Listed Companies

17/12/2019

To spin off a unit, a listed company should have three-year cumulative net profits of at least 600mn yuan, which is lower than the 1bn yuan requirement proposed in an August consultation.

Capital / Liquidity

APRA Investigates Westpac, Imposes Capital Surcharge

17/12/2019

APRA’s investigation will focus on the conduct that led to Westpac’s alleged 23 million AML breaches, and whether its senior managers breached the Banking Act, including the BEAR.

AML / KYC

BNM Issues Draft Rules on Financial Sector Use of Electronic KYC

17/12/2019

BNM recommends the use of AI, machine learning or other forms of predictive algorithms to ensure accurate identification and verification, and to automate decision-making in customer onboarding.

AML / KYC

HKMA Asks Banks, SVFs to Assess AML/CFT Risks of VASP Dealings

17/12/2019

Authorised institutions and SVF licensees should conduct appropriate risk assessments to differentiate the risks of the individual virtual asset service providers they deal with, the HKMA says.

Fintech / Regtech

FSC Korea Grants Preliminary Approval to Third Internet-only Bank

17/12/2019

Led by mobile money transfer app operator Viva Republica, the Toss Bank consortium expects to commence operations as an internet-only bank during the first six months of 2021.