On 31 December 2021, Bank Negara Malaysia issued a policy document that sets out the code of conduct for Malaysia's wholesale financial markets.
The policy document:
- is intended to apply to all market participants that act in the wholesale financial markets, either acting in the capacity of a sell-side or of a buy-side entity, and across various money market and foreign exchange products;
- updates and set outs the principles and standards to be observed by market participants in the wholesale financial markets – that is, money market and foreign exchange market, including over-the-counter derivatives market for interest rates or exchange rates;
- sets out the eligibility requirements for dealers and brokers, the market conduct and internal control requirements to safeguard professionalism and integrity of the wholesale financial markets, and the role of industry associations in preserving market integrity; and
- will come into force on 31 January 2022, save for paragraphs 8.1 to 8.3 and 28.2 to 28.4, which will take effect on 31 July 2022.
For further information on this topic please contact Pamela Kung at Shearn Delamore & Co by telephone (+60 3 2027 2911) or email ([email protected]). The Shearn Delamore & Co website can be accessed at www.shearndelamore.com.