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Regulation

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  • 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.
  • Egypt’s Shura Council has approved the country’s sukuk draft law. The council modified 13 articles and added new ones, according to local newspapers that cite a committee report. The law combines the Shura Council’s proposal and those of the government and the economic and financial committee.