Custody & Clearing

The uncertain solutions to custody & clearing risks

Banks are currently looking into outsourcing, blockchain technology, and cybersecurity but are wary of unproven results.

Asian banks take the fast lane to real-time payments

Asian banks zooming towards faster and more secure transactions while navigating the region’s mounting regulatory hazards.

Fast-paced changes in custody and clearing keep Asian bankers on their toes

Industry insiders share strategies as the market faces increased regulation and regional harmonisation.

Citi appointed global custodian for the first Global Sharia Funds in Indonesia

The funds are managed by Schroders, BNP Paribas and Manulife.

Securities screening and its role in financial crime mitigation

Custodian Banks are used by their customers for the safekeeping of proprietary and third-party interests in securities; the settlement and clearing of securities trades; ancillary services including corporate action processing; securities lending and collateral management.

What you should know about lifting the offshore conversion cap

The People’s Bank of China (PBoC) is likely to lift the RMB 20,000 daily limit on currency conversion for Hong Kong residents, according to the Hong Kong Monetary Authority’s chief executive Norman Chan. As we have long argued, the removal of the conversion cap is crucial to further facilitate the growth of the Hong Kong’s offshore RMB market (see “It’s time to review the personal conversion quota” 3 Apr 2012, and “How will HK maintain its RMB edge?” 25 Oct 2012).

Why RMB globalization is still a long way off

Efforts to globalize the renminbi (RMB) reached a milestone when the currency joined the league of the most-traded currencies for the first time.

Will Qianhai jeopardize Hong Kong’s position?

In mid-2012, the China’s State Council approved the development of the Qian­hai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone.

Singapore, Japan establish cross-border collateral deal

To enhance financial stability in Singapore.

CIPS to debut in Shanghai in 2014

3Part of campaign to internationalize the RMB.

Hong Kong's dominant role to remain in RMB trading

Given that RMB is fungible offshore, the emergence of new offshore centres simply expands the existing regime instead of creating competing systems. As such, we do not expect the recent development to have much impact on Hong Kong; especially when the market is already relatively mature after eight years of development. Being an important entrepot of the mainland, Hong Kong is currently handling more than 80% of all RMB payments and receiving over 50% of all letters of credit sent by banks in China (Chart 1).

Taiwan becoming a local hub for RMB settlement and trading

Two days before the Singapore's announcement, financial institutions in Taiwan formally launched their RMB business after signing currency clearing agreements with Bank of China's Taipei branch.