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A securities regulatory authority has revised the operational requirements for monitoring position limits of non-resident investors in exchange-traded derivatives. The previous mandate requiring these investors to notify clearing members and obtain a unique custodial participant code has been removed to enhance investment ease and operational efficiency. Exchanges and clearing corporations must now monitor non-resident investor positions using client-level limits consistent with existing standards. They are instructed to update relevant rules, notify members, and provide options for investors to exit the custodial code system upon request within specified timeframes. This change is authorized under applicable securities laws to protect investors and promote market development.
A securities regulatory authority has revised the operational requirements for monitoring position limits of non-resident investors in exchange-traded derivatives. The previous mandate requiring these investors to notify clearing members and obtain a unique custodial participant code has been removed to enhance investment ease and operational efficiency. Exchanges and clearing corporations must now monitor non-resident investor positions using client-level limits consistent with existing standards. They are instructed to update relevant rules, notify members, and provide options for investors to exit the custodial code system upon request within specified timeframes. This change is authorized under applicable securities laws to protect investors and promote market development.
Note: It is a system-generated summary and is for quick reference only.