Derivs - Regulation

The Filipino Securities and Exchange Commission has approved the majority of proposed rules governing listing of exchange-traded funds on the Philippine Stock Exchange, except for those guidelines covering market makers.

Some non-financial firms nay not be aware the European Market Infrastructure Regulation is applicable to them, despite it coming into force last Friday.

The Australian Securities & Investment Commission has opened up trade reporting of over-the-counter derivatives to foreign firms looking to operate trade repositories.

The Singapore Exchange will likely share its clearing technology and expertise with the Korea Exchange, following the signing of a memorandum of understanding to collaborate on the development of over-the-counter derivative clearing.

Uptake of client clearing of over-the-counter derivatives in the Asia region will be much slower than Europe and the U.S. due to lack of certainty over when mandatory client clearing will start in each region.

Regulatory proposals surrounding margin requirements for non-cleared derivatives may increase risk, hamper economic growth and result in the implementation of unsuitable hedges by market participants.

The Depository Trust & Clearing Corp. has landed approval as Japan’s first third party-trade repository, as the Japan Financial Services Agency moves to implement an April 1 deadline for the reporting of over-the-counter derivative trades.

Foreign investment firms and local banks based in the Philippines have until May to start complying with new limits on their Philippine peso non-deliverable forward exposure.

The proposed requirements on loss allocations arrangements for central counterparties to cover non-default losses may put U.K. CCPs at a significant disadvantage to their European and U.S. competitors.

The China Securities Regulatory Commission is allowing participants in the Renminbi Qualified Foreign Institutional Investors program to trade stock-index futures.

Registered swap dealers can now report over-the-counter trades for all five major asset classes to the DTCC Data Repository in the U.S., making it the first swap data repository to offer reporting across all asset classes.

The Korea Exchange is planning to launch voluntary clearing of Korean won-denominated over-the-counter interest rate swaps sometime between May-and-June via its central clearinghouse. Mandatory clearing will likely to start after August.