Consultation Paper on Regulatory Framework for Intermediaries Dealing in OTC Derivative Contracts, Execution-Related Advice, and Marketing of Collective Investment Scheme
Covered three proposals: (i) Regulatory framework for capital markets services licensees, banks, merchant banks and finance companies dealing in OTC derivative contracts under the SFA, including capital, business conduct and other requirements; (ii) exemption for execution-related advice on listed excluded investment products under the FAA; and (iii) transferring the regulation of marketing of CIS from the FAA to SFA.
Provides guidance to financial institutions on how they should classify their products arising from the change in product definitions under the amended SFA and FAA.
Proposed enhancements to the requirements governing the protection of customers moneys and assets in areas such as safeguarding, identification and use of customers moneys and assets, and disclosures to customers.