HK To Issue Voluntary Clearing Rules

Apr 12, 2012 - Daniel O'Leary

Read More: Financial Services and the Treasury Bureau· Hong Kong Monetary Authority· Securities and Futures Commission· European Securities and Markets Authority·

A voluntary clearing framework for over-the-counter derivatives will be written into Hong Kong’s main financial law in May, according to lawyers familiar with the legislative process.

Hong Kong Financial Secretary John Tsang is expected to publish changes to the Securities and Futures Ordinance in the government’s gazette notice, which will treat derivatives as a voluntarily cleared instrument. This will extended settlement finality protection to the transactions, allowing voluntary clearing to commence, according to lawyers.Voluntary clearing will act as an....

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