NO 238 – DECEMBER 2012
Season's Greetings!

WFE Focus December 2012

Bursa Malaysia strengthens issuers’ board quality and enhances transparency of CG practices

Bursa Malaysia has amended its listing requirements to strengthen and enhance corporate governance practices of listed issuers. The main amendments made are in the following areas: aligning disclosure of corporate governance statements; limiting the number of directorships in listed issuers from 10 to 5; mandating the establishment of a nominating committee and requiring disclosure of its activities; and enhancing disclosures in annual reports in relation to directors’ training.

Dalian Commodity Exchange amends delivery rules

The Dalian Commodity Exchange amended its delivery rules, including the delivery matching principle, the circulation of special-purpose VAT invoice and the handling of failure to deliver invoices on time prescribed in “Detailed Delivery Rules of Dalian Commodity Exchange” and “Detailed Clearing Rules of Dalian Commodity Exchange”. These came into effect as of 3 December 2012.

IOSCO issues new rules on securitization

The International Organization of Securities Organizations has released some recommendations aimed at ensuring that securitization markets develop on a sound and sustainable basis. The recommendations, contained in the global body’s final report on Global Developments in Securitization Regulation, would ensure that securitization becomes more valuable financing tool that contributes to economic growth and the efficient diversification of risk.

Shanghai Stock Exchange releases rule on abnormal stock trading

The Shanghai Stock Exchange has recently released the “Notice of Strengthening Regulation on Abnormal Stock Trading Related to Significant Assets Reorganization of Listed Companies”, which took effect on 17 December 2012.

Shenzhen Stock Exchange releases rules for bond trading

The Shenzhen Stock Exchange has recently promulgated the implementation rules for bond trading, marking a historic milestone in the development of Shenzhen bond market. The implementation rules are an important measure aimed at enhancing efficiency and laying a solid foundation for the development in the bond market.

Stock Exchange of Thailand revises good corporate principles

The Stock Exchange of Thailand has revised its “Principles of good corporate governance for listed companies 2006” to be in line with the ASEAN CG Scorecard, thus upgrading the CG standards of listed companies to be ready for the ASEAN Economic Community.

Warsaw Stock Exchange amends best practice for listed companies

On 21 November 2012, the Supervisory Board of the Warsaw Stock Exchange approved amendments of the Code of Best Practice for WSE listed companies. The amendments mainly concern organization of electronic general meetings by exchange-listed companies.