FSA Advisory Council on accounting and auditing systems meeting. The Financial Services Agency (FSA) announced that the Advisory Council on the Systems of Accounting and Auditing held its first meeting on October 6, 2015. A summary of the meeting is forthcoming on the FSA’s website. (10/5/2015) FSA press release.
MAS issues proposal on margin requirements for non-centrally cleared OTC derivatives. The Monetary Authority of Singapore (MAS) published a consultation paper that proposes to implement margin requirements on all over-the-counter derivatives trades that are not cleared by a qualifying central counterparty, except for physically-settled foreign exchange forwards and swaps. Comments are due on or before November 1, 2015. (10/1/2015) MAS press release.
ASIC renews registered managed investment scheme constitution class order.The Australian Securities & Investments Commission (ASIC) renewed a class order that provides relief to responsible entities and members of registered managed investment schemes in relation to the pricing provisions of their constitutions. (10/1/2015) ASIC press release.
ASIC consults on renewing financial reporting and foreign licensees class orders. ASIC published two consultation papers proposing to renew eight class orders that are set to expire in 2016, 2017, and 2018. The first consultation paper applies to class orders involving financial reporting, including, among other things, orders affecting the rounding of amounts in financial reports; the transfer of information from directors’ reports; and reporting by disclosing entities. The second consultation paper covers class orders involving the financial reporting and recordkeeping obligations of foreign licensees. Comments are due on or before October 30, 2015. (10/1/2015) ASIC press release.
Joint consultation on mandatory clearing and reporting under the OTC derivatives regime. The SFC and the Hong Kong Monetary Authority (HKMA) published a joint consultation regarding the introduction of the first phase of mandatory clearing and the second phase of mandatory reporting under the new OTC derivatives regime. The proposals for first phase of mandatory clearing would identify the types of transactions, persons, and circumstances subject to mandatory clearing and clearing obligations; any applicable exemptions and relief; and the process for designating central counterparties. The proposals for the second phase of mandatory reporting would require the reporting of all OTC derivative product transactions; widen the scope of reported transaction information; and identify specific data fields to be reported. Comments regarding all aspects of the proposal aside from the proposed data fields are due on or before October 31, 2015. Comments regarding the proposed data fields are due on or before November 20, 2015. (9/30/2015) SFC press release.
ASIC releases report regarding relief granted to “cut red tape.” ASIC published a report detailing the decisions issued in response to relief applications from regulatory requirements between February 1 and May 31, 2015. (9/28/2015) ASIC press release.
ASIC licensing activity report and licensing liaison meetings. ASIC published its second report explaining its approach to assessing licensing applications, emphasizing its focus on retail OTC derivatives and marketplace lending, limited licensing, and consumer leases, among other areas. ASIC also announced it will hold licensing liaison meetings in Sydney and Melbourne on October 26 and 27, 2015, respectively. (9/24/2015) ASIC press release.
MAS moves forward with regulatory safeguards for investors. The MAS announced that it will move forward with improvements to its regulatory framework for safeguarding investors’ interests and will implement changes to the proposal based on comments it received to its July 21, 2014, consultation paper. The proposed changes include extending the regulatory safeguards applicable to investors in capital markets to retail investors in non-conventional investment products and availing accredited investors of the option to benefit from regulatory safeguards applicable to retail investors. (9/22/2015) MAS press release.
MAS consults on collateralized trading and other amendments to the Securities and Futures, Financial Advisers, and Trust Companies Acts. The MAS has requested public consultation on proposed amendments to the Securities and Futures Act, the Financial Advisers Act and the Trust Company Act to enhance the MAS’s supervisory powers and harmonize similar requirements. Among other things, the proposed amendments would introduce collateralized trading by allowing investors to pledge securities held in their Central Depository (CDP) direct accounts to their brokers to meet collateral requirements and require brokers to collect a minimum of 5 percent of collateral from their customers for trading of listed securities. Comments are due on or before October 16, 2015. (9/18/2015) MAS consultation paper.
ASIC consults on changes to fundraising class orders and guidance. ASIC published a public consultation paper containing proposals regarding ASIC relief and guidance in the area of public fundraising. Comments are due on or before November 27, 2015. (9/17/2015) ASIC press release.