Press Releases

Minutes from Global FX Committee meeting on 25 May 2016

25 May 2016

Minutes from Global FX Committee meeting on 25 May 2016

Joint Statement on the Publication of the FX Global Code: May 2016 Update

27 May 2016

Joint Statement on the Publication of the FX Global Code: May 2016 Update

Minutes from Global FX Committee meeting on 23 March 2015

08 April 2015

Minutes from Global FX Committee meeting on 23 March 2015

Press Release: Global Preamble – Codes of Best Market Practice and Shared Global Principles

30 March 2015

Press Release for Global Preamble

Joint Statement on the Financial Stability Board’s Foreign Exchange Benchmarks Report

20 January 2015

Joint Statement on FSB FXBG Report

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

Singapore Market to Use JISDOR Benchmark

18 Febuary 2014

SFEMC Statement

Release of the Survey of Singapore FX Volume in April 2012

26 July 2012

The Singapore Foreign Exchange Market Committee plans to release the results of its April 2012 semi-annual survey of foreign exchange volumes in Singapore on Monday 30 July 2012. The results are expected to be released in coordination with similar surveys conducted by the United Kingdom’s Foreign Exchange Joint Standing Committee, the New York Foreign Exchange Committee, the Canadian Foreign Exchange Committee, the Tokyo Foreign Exchange Market Committee, and the Australian Foreign Exchange Committee.

Recommendations in light of the amend in Chinese Renminbi/US Dollar fixing (CNY SAEC) on 21st October 2010

21 October 2010
The Singapore Foreign Exchange Market Committee (SFEMC) seeks to clarify the application of the 'CNY SAEC' rate fixing on the Chinese Renminbi (CNY) currency for 21 October 2010. The CNY SAEC fixing rate was initially published as 6.6495 on the Reuters Screen "SAEC" page at about 9.16am, 21st Oct 10. The rate was subsequently amended to 6.6695 at about 9.36 am on 21
October 2010.
Pursuant to Section 4.7 of Annex A to the 1998 FX and Currency Options Definitions as published by ISDA, EMTA and the Foreign Exchange Committee, SFEMC recommends market participants to treat the amendment of the rate on Reuters Screen "SAEC" Page as a correction. The committee encourages market participants to make reference to the amended fixing rate of 6.6695 for transactions which involve the 21st Oct CNY SAEC rate fixings.
Section 4.7 is extracted below for ease of reference.
"Section 4.7.
Corrections to Published and Displayed Rates. For purposes of determining the Spot Rate for any Rate Calculation Date:
(a) In any case where the Spot Rate for a Rate Calculation Date is based on information obtained from the Reuters Monitor Money Rates Service or the Dow Jones Telerate Service, the Spot Rate will be subject to the corrections, if any, to that information subsequently displayed by that source within one hour of the time when such rate is first displayed by such source.
(b) Notwithstanding subsection (a) above, in any case where the Spot Rate for a Rate Calculation Date is based on information published or announced by any Governmental Authority in the relevant country, the Spot Rate will be subject to the corrections, if any, to that information subsequently published or announced by that source within 5 days of the Rate Calculation Date.
(c) In the event that a party to a Transaction notifies the other party to the Transaction of any correction referred to in subsections (a) or (b) above no later than 5 days after the expiration of the period referred to in such subsection, an appropriate amount will be payable as a result of
such correction (whether such correction is made or such notice is given before or after the Settlement Date of the Transaction), together with interest on that amount at a rate per annum equal to the cost (without proof or evidence of such cost) to the relevant party (certified by it) of funding that amount for the period from, and including, the day on which, based on such correction, a payment in the incorrect amount was first made to, but excluding, the day of payment of the refund or payment resulting from such correction."

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.

14 September 2008       NYFXC Announcement
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