Hong Kong

Securities / Derivatives

Hong Kong SFC Proposes New Rules For Securities Margin Financing

By Garima Chitkara | 20/08/2018

The regulator has launched a two-month consultation around stronger risk management standards to govern securities margin financing.

AML / KYC

HKMA Reprimands, Fines Shanghai Commercial Bank for AML/CFT Failures

By Editors | 20/08/2018

The bank was fined HK$5mn for ineffective procedures for continuous monitoring of business relationships and due diligence on pre-existing customers.

Securities / Derivatives

Stock Connect ID System for Northbound Trades Slated for September Launch

By Editors | 13/08/2018

Northbound investor ID system is scheduled to be implemented on 10 September, pending market readiness and regulatory approval, and will not affect the business of existing market participants.

Capital / Liquidity

Indian Government Urges RBI to Ease Bank Capital Rules

By Editors | 10/08/2018

Under Basel III rules, banks would need to hold CET1 capital of 4.5% of RWAs, compared to the 4.5% now required of Indian banks.

Fintech / Regtech

Financial Regulators Consult on ‘Global Sandbox’ Approach

By Manesh Samtani | 09/08/2018

HKMA, MAS, ASIC among 12 regulators seeking views from interested parties on new Global Financial Innovation Network initiative, including its role, tools and where it should prioritise activity.

AML / KYC

Account Opening Woes Causing Loss of Business in Hong Kong – HKICS

By Garima Chitkara | 07/08/2018

HK Institute of Chartered Secretaries survey found 68% of member believe Hong Kong has been losing out on businesses because of non-transparent and onerous bank account opening processes.

Securities / Derivatives

SFC Warns Against Disguised Margin Financing

By Editors | 06/08/2018

Suspected margin financing arrangements involve unlicensed affiliates of licensed corporations or third parties who appear to be engaging in securities margin financing without an SFC licence in order to circumvent regulatory requirements.

Market Infrastructure

SFC to Assess Licensed Firms for FRTB Adoption Readiness

By Manesh Samtani | 06/08/2018

Pending an update from the Basel Committee on FRTB, the SFC will assess the readiness of LCs to adopt the internal models approach for market risk based on the Basel II.5 framework.

Capital / Liquidity

Hong Kong Bank Exposure Rules Compliance Pushed to Mid 2019

By Garima Chitkara | 30/07/2018

HKMA has extended the implementation deadline for its bank exposure limit rules to 1 July 2019 given the tight implementation deadline and concerns raised by the industry.