Daily News Headlines

  • Daily News Headlines – 30 Jun 2020

    Joint Announcement of the People’s Bank of China, the Hong Kong Monetary Authority, and the Monetary Authority of Macao on the Launch of the Cross-boundary Wealth Management Connect Pilot Scheme in the Guangdong-Hong Kong-Macao Greater Bay Area

    HKMA, 29 Jun 2020

    Wealth Management Connect refers to the arrangement under which individual residents in the Greater Bay Area carry out cross-boundary investment in wealth management products distributed by banks in the Greater Bay Area. The scheme has a southbound and a northbound components, depending on the residency of the investors.  Under Southbound Wealth Management Connect, residents of the Mainland cities in the Greater Bay Area can invest in eligible investment products distributed by banks in Hong Kong and Macao by opening designated investment accounts with these banks; under Northbound Wealth Management Connect, residents of Hong Kong and Macao can invest in eligible wealth management products distributed by Mainland banks in the Greater Bay Area by opening designated investment accounts with these banks.

    Full Text: Click Here; Speech by Eddie Yue: Click Here

    Extension of buy-in exemption for Exchange Traded Funds and Leveraged and Inverse Products transactions

    HKEX, 29 Jun 2020

    The pilot program that grants buy-in exemption for certain exchange traded products (“ETP”) transactions to give Securities Market Makers one extra day in addition to the standard settlement period to cover any short positions resulting from their market making activities (“ETP buy-in exemption”) will be extended for one more year from 4 July 2020.

    Full Text: Click Here; Details of the Program: Click Here

    Chinese brokerages hammered in Hong Kong on media report banks to get broker licences

    SCMP, 29 Jun 2020

    Citic Securities leads a sell-off in brokerage stocks after a Caixin report says banks to get new licences to raise competition.

    CSRC, the market regulator, is coy on the report, saying there are multiple options to create large-sized investment banks.

    Full Text: Click Here

    MAS working with police to scrutinise other aspects of Wirecard case

    MAS, 29 Jun 2020

    Singapore's central bank is working with the police to scrutinise collapsed German payments company Wirecard, it said on Monday (June 29). MAS noted that it requires financial institutions to report all suspicious transactions, "including transactions that are large, complex or present unusual patterns with no apparent economic or lawful purposes". It said that it has been in touch with relevant financial institutions to determine if there had been any abuse of Singapore's financial system for illicit purposes.

    Full Text: Click Here

    ESMA responds to European Commission consultation on the Digital Finance Strategy

    ESMA, 29 Jun 2020

    The European Securities and Markets Authority (ESMA), the EU’s securities markets regulator, has submitted a response to the European Commission’s (EC) consultation on a new digital finance strategy for the European Union (EU). ESMA welcomes the EC consultation noting that it builds on the 2018 FinTech Action Plan that set a number of deliverables for the ESAs, all of which were completed.

    Full Text: Click Here

    FCA statement on Wirecard

    FCA, 29 Jun 2020

    FCA has been working closely with Wirecard UK and other authorities over the last few days to ensure that the firm was able to meet certain conditions required to lift the restrictions. FCA is now in a position to allow Wirecard to resume operational activity. The objective of Wirecard is to protect the interests and money of consumers.

    Full Text: Click Here

    The Climate Financial Risk Forum publishes its guide to help the financial industry address climate-related financial risks

    FCA, 29 Jun 2020

    The objective of the guide is to help firms understand the risks that arise from climate change, and to provide support on how to integrate these risks into their strategy and decision-making processes. Each chapter within the guide provides practical tools, experience, knowledge and case studies, which firms can use as they develop their strategies, processes and approaches.

    Full Text: Click Here

    SEC Updates Filing Threshold to Rule 17h Reporting Requirements for Broker-Dealers

    SEC, 29 Jun 2020

    The Securities and Exchange Commission today issued an order to update the filing threshold for broker-dealers’ Form 17-H filings made pursuant to Exchange Act Rules 17h-1T and Rule 17h-2T. The threshold, which had not been updated in nearly 30 years, will exempt certain smaller broker-dealers from the reporting requirements of the rules while continuing to provide important information to the Commission on the financial condition of covered broker-dealers and their affiliates.

    Full Text: Click Here

    CFTC Charges Chicago-Based Firm and Six Individuals in Multi-Million Dollar Options Fraud Scheme

    CFTC, 29 Jun 2020

    The defendants are charged with defrauding customers in connection with options on futures transactions.  Some of the defendants are also charged with registration and disclosure violations. The CFTC also issued two orders filing and simultaneously settling charges against two additional former associated persons of Long Leaf, Scott J. Gecas, of Tinley Park, Illinois, and James E. Leeney, of Chicago, Illinois for their participation in the firm’s fraud scheme.

    Full Text: Click Here

    CFTC Orders Illinois Firm to Pay $250,000 for Supervision Violations

    CFTC, 29 Jun 2020

    The Commodity Futures Trading Commission today issued an order filing and settling charges against Cunningham Commodities, LLC, a registered futures commission merchant with its principal place of business in Itasca, Illinois, for failing to diligently supervise accounts set up by an introducing broker whose activities it guaranteed (GIB).

    Full Text: Click Here