Hong Kong

Capital / Liquidity

Hong Kong Gazettes Banking Rule Amendments to Implement SA-CCR

By Editors | 25/04/2020

The final Basel III standards on SA-CCR and on capital requirements for CCP exposures will come into operation in Hong Kong on 30 June 2021, subject to negative vetting.

Securities / Derivatives

Oil Volatility Prompts SFC Call for Vigilance, Contingency Plans

By Editors | 24/04/2020

Commodity futures brokers should control exposures to clients and pre-arrange for contingent funding and capital support to be available from group companies or shareholders.

Market Infrastructure

HKMA Survey Highlights LIBOR Transition Challenges

By Editors | 23/04/2020

About HK$1.4tr in assets, HK$0.5tr in liabilities, and HK$14.7tr in derivatives still referencing LIBOR will mature after end-2021 and don’t have fallbacks in place.

Securities / Derivatives

HKEX Sets Launch Date for Phase One VCM Enhancements

By Editors | 23/04/2020

The first phase of enhancements will expand VCM coverage from 78 stocks to nearly 500 stocks, and apply a tiered structure of triggering thresholds.

Enforcement

Hong Kong Exchange Censures Ding Yi Feng Executives

By Editors | 23/04/2020

Three former non-executive directors of China Ding Yi Feng were censured for breaching the listing rules and disclosure obligations.

Capital / Liquidity

HKMA Introduces USD Facility, Postpones Supervisory Stress Tests

By Manesh Samtani | 22/04/2020

$10bn will be available to banks under the USD liquidity facility. The stress tests are being postponed to 2021 to free up banks’ operational capacity.

AML / KYC

ASIFMA Offers Hong Kong Guidance on Common KYC Practices

By Editors | 22/04/2020

The guidance on account opening and KYC refresh is based on practices employed at 15 banks in Hong Kong that have a strong global and regional footprint.

Capital / Liquidity

Hong Kong’s Banking Exposure Limit Rules: Implementation Challenges

By Gregory Achache | 21/04/2020

Many banks have merely instituted stopgap measures and temporary manual solutions to comply with BELR so far, say Synpulse’s Gregory Achache and Tim Alvner.

AML / KYC

SFC Fines BOCOM International Securities for “Serious” Breaches

By Editors | 20/04/2020

The brokerage did not have effective controls to identify third party deposits, and “extensive deficiencies” were found in its handling of margin lending and margin calls.