The new measures came into effect a year after the regulatory body under the China Securities Regulatory Commission (CSRC) issued a draft for comments on structured notes’ issuance eligibility and risk management.
The Securities Association of China imposed new guidelines on structured note issuances to local securities houses last Friday (25 October), detailing specific measures on debt financing instruments around issuance eligibility, sales practices, and risk management. For floating income certificates issued by the securities companies, the embedded derivatives part should be included in the company's derivatives compliance risk control system in all aspects The new rules apply to private notes
Continue reading with a subscription to the SRP market intelligence platform.
Request DemoAlready a subscriber? Login