Asia Risk
Risk Japan: Basel securitisation reform creates ‘perverse incentives’
Inconsistent rules are damaging financial intermediation, says senior Japanese banker
HKMA and RBA voice fears over Iosco benchmark proposals
Responses to Iosco's Principles for Financial Benchmarks reveal concerns that many markets will not be able to support transactions-based rates; RBA questions 'lexicographic hierarchy'
Lack of CSAs restricts forex hedging options for Australian institutions
Returns for hedging via long-term cross-currency swaps are attractive, but few are able to do so because of the lack of credit support annexes in place
Editorial: Taxing times
Asia's response to the EU's proposed financial transaction tax is a sign of the region's refusal to accept the extraterritoriality of western regulations willy-nilly
Asia exchanges set for overhaul as competitiveness wanes
Solid structures
Insurers turn to structured credit in search for yield in Asia
Yielding results
Asia Risk corporate rankings 2013
Asia Risk corporate rankings 2013
Mandating clearing will have little impact on Australian market development
Australian regulators are looking at whether to mandate clearing of OTC derivatives, but the market is already moving to clear without a mandate in place
Extraterritorial EU legislation likely to be ‘particularly onerous’ on Asia – Asifma
Extraterritorial aspects of European legislation such as Emir likely to be keenly felt by Asian firms, says Asifma
Asean Risk 2013: Use of credit ratings in Basel III provides risk weighting that ‘defies logic’
Economic fundamentals, not credit ratings, should drive Basel III risk weightings, argues CIMB markets head
Australian banks lobby for reduced margin on cross-currency swaps
Current treatment of initial margin on uncleared swaps will cost Australian banks $21 billion
Launch of renminbi clearing in Singapore could spur RMB commodity derivative market
Infrastructure to clear RMB trades in Singapore is now live
Japan dealers pitch volatility swap trade to keep up with demand for Topix options
Institutions are creating demand for Topix options, outweighing supply
China low grade coal ban could push up Asia swaps liquidity
Facing pressure from domestic producers and chronic pollution, China's authorities are considering clamps on low grade coal imports – potentially increasing swap activity
India‘reluctant’ to apply for Esma recognition under current rules
Indian reticence over Emir steps up pressure on EC equivalency regime
China's red tape reduction could lead to wider CNY trade band
Chinese regulator Safe's efforts to simplify investment into the country seen as a further sign of renminbi liberalisation
Demand for Topix options gives dealers hedging headache
Institutional demand for Topix options outweighs supply and is creating basis risk for dealers hedging their positions
Japan delays cross-border rules amid US and European uncertainty
Equivalence and substituted compliance issues must be resolved quickly, or financial markets will be affected, says Kono at Japanese FSA
EU financial transaction tax may drive Asian banks away from European business
Eleven EU states have agreed to implement a harmonised financial transaction tax, due to begin in January 2014. The tax has a huge extraterritorial reach, posing serious questions about its impact on Asia
Thai sovereign entities to hedge out legacy yen exposures as baht strengthens
Recent mark-to-market gains on legacy yen-denominated loans make now a tempting time to hedge, according to Thai market players
Uridashi knockouts push Japan dividend futures to outperform Nikkei
Inverted yield curve provides rich pickings for investors
Indian hedge funds barred from investing in currency derivatives to check rupee volatility
Sebi bans the newly formed local hedge fund industry from forex and commodity derivatives to curb speculation in these markets.