Asia Risk/News
Australia’s bank levy could squeeze TLAC drive
Issuing Tier 2 and senior unsecured debt will become more expensive for the top four banks in the country
Surprise RMB strengthening prompts unwinds
“A lot of long [US$] positions were unsustainable and had to be re-evaluated,” says forex structuring head
Banks worry FRTB will fracture Asian trading desks
Rules could produce “lots of little country desks”, warns StanChart market risk head
BAML and Morgan Stanley shift Indian P-notes to Europe
Tax changes trigger move out of Mauritius and Singapore
Bail-in ambiguity hands funding advantage to Japanese G-Sibs
Financial Stability Board wants Japan to clarify the conditions under which it can use its resolution powers
People moves: Citi promotes Bacon to Apac investments head
Also: Natixis adds Kenneth Lee; Yin joins HSBC Private Bank; JP Morgan nabs three from Goldmans for Aus/NZ; and others
China TLAC uncertainty frustrates capital planning
Banks face $1 trillion issuance crunch if regulators take too long to define bail-in debt
Documentation concerns slow CNY forex derivatives growth
Foreign fund managers need clarity before market can take off, say banks
People moves: UBS nabs Barclays’ former Asia equity head
Plus: new equity head for HSBC; ANZ adds rates strategist; Jones leaves LME; and others
China’s insurers wrestle with ALM as liabilities lengthen
Clampdown on overseas investment fuels pressure to find long-duration domestic assets
Japanese banks fear 20% TLAC increase
Recalibration of Basel risk weights raises fresh concerns over bail-in buffer levels
Collateral issues see Korea opt for six-month VM transition
Move will bring country into line with Australia, Hong Kong and Singapore
Philippines will allow proxies as IFRS 9 stopgap measure
Central bank to issue guidelines to help address the shortage of data for compliance
Australian VM relief undermined by backloading rule
Trades entered during six-month transition period will need margin from September 1
Mifid equivalence delay threatens Hong Kong dual-listed stocks
HSBC, Stan Chart and Prudential shares could face trading disruption in 2018
People moves: Citi axes second Asia-Pac clearing head in 18 months
Deutsche loses Asia head of global markets; StanChart hires HK chief; new Singapore head for Credit Suisse; and others
VM rules may spark Asian migration away from EU/US banks
Six-month transition could make inter-Asian trades cheaper, but only if liquidity is sufficient
People moves: Natixis appoints new head of Apac global markets
Singapore MP joins Ice; FastMatch hires sales chief; RBNZ's new risk assessment head
US dealers face trading lockout from small Japanese banks
Lack of substituted compliance for Japan's small bank margin rules causing concern
Offshore RMB hedging costs soar as CNY/CNH basis hits record
Corporates "don't have a choice" about hedging
Banks urge co-ordinated Asian reaction to CFTC swaps rule
Banks call for Asian regulators to unite against US supervisory overreach
Julius Baer calls for private bank margin rule exemptions
Existing client collateral provision sufficient, says firm
Credit Suisse and StanChart cut Asia derivatives staff
Both banks have cut derivatives headcount by a dozen
People: SGX’s new fixed-income origination head
Plus: ANZ Taiwan CEO; DBS Private Bank hires Ioannou; global risk head for ADS Securities