SFC consults on refinements to the OTC derivatives regime and conduct requirements for licensed corporations

On 20 December 2017, the Securities and Futures Commission launched a two-month consultation on proposals to refine the over-the-counter (OTC) derivatives regime and to require licensed corporations to properly manage financial exposure to connected persons. The proposals in the Consultation Paper are wide-ranging and cover issues from licensing to intra-group booking models, risk mitigation requirements for OTC derivatives, risk disclosures in client agreements and client clearing conduct requirements. Deadline for submitting comments to the SFC is 20 February 2018.

Read our summary report, including key takeaways, on the Securities and Futures Commission two-month consultation.