An Effective Resolution Regime for Financial Institutions in Hong Kong: Financial Institutions (Resolution) Ordinance (Cap. 628) Regulations on Protected Arrangements
On 22 November 2016, the Financial Services and the Treasury Bureau, together with the Hong Kong Monetary Authority, the Securities and Futures Commission and the Insurance Authority, launched a consultation on the regulations relating to “protected arrangements”, to be made under section 75 of the Financial Institutions (Resolution) Ordinance (Cap. 628) (“FIRO”).
The FIRO was gazetted on 30 June 2016 following two consultations . As mentioned in the second consultation conclusions , the focus of the present consultation is on technical details on how the economic effect of certain arrangements is to be protected on the application of a stabilization option, exclusions from the scope of protection and remedies for inadvertent breaches.Read more