Announcements Speeches Press Releases ANNOUNCEMENTS 20 May 2010 - Recommendations in light of the market disruption on THB settlement for 20 and 21st May The Bank of Thailand has declared on 19th May that 20th May, Thursday and 21st May,Friday, would be non-business days for reasons of public safety. As such, there would be both settlement and payment delays for contracts maturing on these 2 non-business days. The SFEMC recommends market participants to extend the maturity of expiring contracts on 20th and 21st May to the next business day on 24th May, Monday for transactions which involve onshore payments in Thailand. However, for offshore settlements in USD which are not affected by Bangkok holidays, SFEMC  recommends settlement to continue on schedule on 20th May or 21st May without any delays. For USD settled transactions whose FX valuations are scheduled for 20th May or 21st May, the market conventions would usually provide for valuations to be moved to the next business day, i.e. 24th May, and settlement would happen as soon as practicable thereafter, but no later than 2 business days after valuation, i.e. 26th May.  SFEMC recommends this approach unless a different approach has been expressly provided for in any bilateral agreements between the parties concerned. The committee strongly encourage relevant parties to adopt this recommendation to facilitate a rapid and efficient resolution. October 2003 - An open letter from the Singapore Foreign Exchange Market Committee (SFEMC) to participants in the Singapore financial market. Dear Market Participant, The global foreign exchange markets have been concerned for some time about the practice of Undisclosed Principal Trading. This is where a fund manager trading on behalf of a client (who is the principal of the transaction) with a counterparty fails to reveal the identity of the client to the counterparty. The failure to disclose the identity of the principal of the transaction exposes counterparties to a number of credit, regulatory, legal and reputation risks. For instance, with the principal of a trade undisclosed, counterparties would have difficulties verifying its compliance with anti-money laundering rules and regulations. The SFEMC as a committee devoted to fostering growth of the Singapore financial market as a leading international center for transactions in foreign exchange, money markets, fixed income and derivatives instruments naturally share in this concern. SFEMC members who are drawn from Singapore market participants have deliberated this issue extensively and concluded that Undisclosed Principal Trading warrants serious attention. The SFEMC therefore supports and endorses the initiative of The London Foreign Exchange Joint Standing Committee (FXJSC), which has recently implemented a revision of its NIPs Code, to be effective 31 May 2004. Under the revised Code, confidential information pertaining to the undisclosed principal (including its full legal name) should be disclosed by a fund manager to the credit, legal and compliance functions of the counterparties, solely for the purpose of risk assessment and management. Such information will not and must not be disclosed to the front offices of the counterparties except in the event of a default. To the best of our knowledge, the practice of Undisclosed Principal Trading is not prevalent in the Singapore financial markets. Overall, we can be proud of the high standards of professionalism and ethics in our industry. To that end, the Committee will continue to work closely with the Association of Banks in Singapore 14 September 2008       NYFXC Announcement     Stay on top of the latest news on this page by Subscribing to our email alert.
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