Watch now: global asset management regulation webinar series

The recordings from our global asset management regulation webinar series are now available to watch on demand. In this series, our financial services team explored the key issues and requirements firms should be considering when looking to launch an overseas fund in Europe, Asia Pacific, the United States and Canada. Watch now: The AIFMD re-examined … Continue Reading

Global anti-money laundering and sanctions compliance survey

An increasingly globalised business environment, together with technological innovation, political uncertainty and ongoing regulatory change, present a number of challenges for financial institutions when it comes to protecting themselves against financial crime. Our global anti-money laundering and sanctions compliance survey will explore how financial institutions across the globe are managing their compliance programs in light of the … Continue Reading

SFC provides licensing guidance for private equity firms and family offices

On 7 January 2020, the SFC issued guidance on the licensing obligations of private equity (PE) firms and family offices which conduct business in Hong Kong. This guidance took the form of two circulars, the first of which relates to PE firms (the First Circular) and the second relates to family offices (the Second Circular). … Continue Reading

New global asset management regulation webinar: The use of Canadian investment funds by non-Canadian managers

In our latest asset management regulatory webinar, Michael Bunn discusses the use of Canadian investment funds by non-Canadian managers, including types of Canadian investment funds; structuring considerations; and the regulation of Canadian funds. Previous webinars in our global asset management regulation series can be found on our Asset Management Regulation hub located on the NRF … Continue Reading

UK General Election and next steps for Brexit

Following the UK General Election the Conservative Party has won a majority of at least 76 seats in the House of Commons, its biggest election victory since 1987. With one constituency left to declare at the time of writing, the Conservatives have 364 seats, Labour 203, the SNP 48, the Liberal Democrats 11, the DUP … Continue Reading

Global Asset Management Quarterly – 13th edition now available online

The latest issue of Global Asset Management Quarterly is now available here. This issue contains the following articles: UK/Europe UK and European overview The new EU prudential regime for investment firms Navigating the AIFMD EU progresses on its Sustainable Finance Action Plan Contracting for indices EU/UK regulatory roundup Luxembourg update Ireland update Asia Pacific The … Continue Reading

MAS Consultation Paper on Proposed Regulatory Approach for Derivatives Contracts on Payment Tokens

The Monetary Authority of Singapore (MAS) recently issued a consultation paper setting out its proposed regulatory approach for derivatives contracts that reference payment tokens as underlying assets (Payment Token Derivatives). What is this approach meant to address? A well-regulated market for derivatives – particularly one anchored by institutional investors with sophisticated risk management and investment … Continue Reading

SFC issues guidance to asset managers to tackle market misconduct

The SFC has identified a growing number of arrangements and transactions involving dubious private funds or discretionary accounts during recent inspections conducted on asset managers, raising concerns that asset managers are simply following investor’s instructions when structuring private funds or discretionary accounts and effecting transactions, and turning a blind eye to potential red flags. The … Continue Reading

Singapore FinTech Festival 2019 – key takeaways

Partners from our global FinTech team flew in from Hong Kong, Vancouver, London, Dallas, Johannesburg and Melbourne to join our Singapore team at the SFF 2019 (Singapore FinTech Festival) 11-13 November. The SFF is the world’s largest annual FinTech conference, bringing together over 45,000 FinTech enthusiasts to explore, collaborate and discuss the future of FinTech. … Continue Reading

ASIFMA launches new industry white paper on Tokenised Securities

We have recently partnered with the Asia Securities Industry & Financial Markets Association (ASIFMA) on its new industry white paper titled, “Tokenised Securities – A Roadmap for Market Participants and Regulators.” The report analyses how the new value chain will impact market participants, including incumbent financial institutions (FIs) and issuers, and looks at areas they … Continue Reading

The HKMA issues consumer protection guidance for banks using big data analytics and artificial intelligence

Following the guidance issued by the Hong Kong Monetary Authority (HKMA) to authorized institutions (AIs) on use of artificial intelligence earlier this month (to read our previous blog, please click here), the HKMA has issued a further set of guiding principles to AIs, focusing on consumer protection, when adopting big data analytics and artificial intelligence … Continue Reading

The SFC announces new regulatory framework for virtual assets trading platforms

At the Hong Kong Fintech week, the Chief Executive Officer of the Securities and Futures Commission (SFC), Mr Ashley Alder, announced the rollout of a new regulatory framework for virtual asset trading platforms.  The regulation of virtual asset trading platforms (and whether they should fall within the SFC’s regulatory oversight) has been a key regulatory … Continue Reading

The HKMA issues guidance on use of artificial intelligence by banks

In response to the growing use of artificial intelligence (AI) by banks, the Hong Kong Monetary Authority (HKMA) has provided guidance to the banking industry on the use of AI applications.  These are high level principles (set out briefly below) which banks are expected to take into account when designing and adopting their AI and … Continue Reading

The SFC issues guidance on the use of external electronic data storage

The Securities and Futures Commission (the SFC) has issued a circular (the Circular) to licensed corporations (LCs) on the use of external electronic data storage providers[1] (EDSPs) and updated the frequently asked questions on the premises for business and record keeping in light of the Circular. In addition to setting out the SFC’s expectations for … Continue Reading

Financial services monthly wrap up – October 2019

In October 2019, the much-anticipated bill to end grandfathered conflicted remuneration was passed, with the ban effective from 1 January 2021. There have also been recent developments in the Courts in relation to the definition of personal advice as well as a joint ASIC report on the role and shortcomings of disclosure in financial services. … Continue Reading

The HKMA clarifies consumer protection expectations under Open API Framework

The Hong Kong Monetary Authority (the HKMA) has issued a circular to authorized institutions (AIs) to clarify expectations around the minimum level of consumer protection required under the Open API Framework.  For background information on Hong Kong’s Open API Framework, please refer to our previous blog post on its initial launch here as well as … Continue Reading

The HKMA revises SPM on risk management of e-banking

The Hong Kong Monetary Authority has revised its supervisory policy manual module TM-E-1 (SPM) on risk management of e-banking.  This SPM is a non-statutory guideline issued as a guidance note. The revisions are intended to strengthen risk management controls for e-banking given the rise in cyber threats and fraud risks, introduce changes to cater for … Continue Reading

Insurance Authority issues guidance on licensing requirements for banking sector dealing with insurance under new insurance intermediaries regime

The Insurance Authority has issued an explanatory note to provide guidance on the extent to which certain banking activities involving insurance would be regarded as regulated activities under the new regulatory regime for insurance intermediaries (to read further on the new regime which came into operation on 23 September 2019, please refer to our blog … Continue Reading

Enhancements to investor compensation regime gazetted – effective 1 January 2020

On 11 October 2019, the Government and the Securities and Futures Commission (SFC) published the Securities and Futures (Investor Compensation – Levy) (Amendment) Rules 2019, the Securities and Futures (Investor Compensation – Compensation Limits) (Amendment) Rules 2019 and the Securities and Futures (Investor Compensation – Claims) (Amendment) Rules 2019 (together, the IC Amendment Rules) in … Continue Reading

SFC publishes pro-forma terms and conditions for licensed corporations which manage portfolios that invest in virtual assets

On 4 October 2019, the Securities and Futures Commission (SFC) published the pro forma terms and conditions (the Terms and Conditions) applicable to licensed corporations managing a fund (or portion of a fund) that invests in virtual assets and meet the de minimis threshold [1] (Virtual Assets Fund Manager) . This follows the SFC’s earlier … Continue Reading

SFC consults on new regulatory regime for depositaries of SFC-authorized collective investment schemes

On 27 September 2019, the Securities and Futures Commission (SFC) issued a consultation paper on the proposed regulatory regime for depositaries of SFC authorised collective investment schemes (the Proposals). The Proposals, which are part of the SFC’s strategy to strengthen Hong Kong as an international, full service asset management centre and to enhance the regulation … Continue Reading

Singaporean court’s decision in relation to cryptocurrency trading has implications for cryptocurrency trading mistakes, smart contracts, artificial intelligence and whether cryptocurrency is property

The Singapore International Commercial Court has published its first cryptocurrency judgment. In this briefing note we discuss the key novel points arising from the case (B2C2 Ltd v Quoine Pte Ltd [2019] SGHC(l) 3) and consider the implications for digital assets, smart contracts and artificial intelligence.… Continue Reading

German regulator updates its guidance on the EU-US Covered Agreement

The German regulator BaFin has updated its guidance on the conduct of reinsurance business by US insurers in Germany under the provisions of the 2017 EU-US Covered Agreement (“Bilateral Agreement between the European Union and the United States of America on prudential measures regarding insurance and reinsurance”). An English language version has also been published, … Continue Reading