Page 43 - SC Annual Report 2018 (ENG)

Securities
Commission
Malaysia
ANNUAL
REPORT
2018

In the area of Fintech, following the innovation • Regional Comprehensive Economic
co-operation agreements (Fintech bridges) entered Partnership (RCEP), an ASEAN-led trade
into by the SC in 2017, a new Fintech bridge with agreement comprising all 10 ASEAN member
Finansinspektionen Sweden was established in 2018. states as well as Australia, China, India, South
The Fintech bridges facilitate information sharing on Korea, Japan and New Zealand, to create a
emerging trends, regulatory developments in digital mutually beneficial agreement by reducing
finance, referrals of innovative businesses seeking to trade barriers and providing certainty of
operate in respective jurisdictions and potential joint market access for businesses and investors.
innovation projects. This is complemented by the
SC’s involvement in the IOSCO Fintech and ICO To promote a more connected, sustainable ASEAN
Networks, which enables members to foster capital market with greater market access, the SC
dialogue in the exchange of information and encouraged liberalisation through the ASEAN
potential collaboration. Working Committee on Financial Services
Liberalisation. The SC also led efforts through the
In October 2018, the SC hosted a series of discussions ASEAN Working Committee on Capital Market
among senior capital market regulators from the Development and ACMF.
Asia Pacific. The dialogues focused on, among
others, supervisory issues and challenges as well as A key thrust of the ACMF is to support greater
the investigation and enforcement of capital market regional connectivity including through promoting
offences across borders. In conjunction with these ASEAN asset classes, cross border product offerings
meetings, the SC also hosted the third European and the mobility of capital market professionals.
Union-Asia Pacific Forum on Financial Regulation.
Senior regulators from the European Union (EU) and Achievements in 2018 include the launch of the
the Asia Pacific region shared views on cross-border ASEAN SBS and ASEAN SUS. In addition, 15 funds
regulation and development, including the have been recognised since October 2014 as
implementation of EU regulations and developments Qualifying Collective Investment Schemes (six of
relating to Brexit and the implications to markets which have commenced cross-border offering) since
within the Asia Pacific region. Through such the launch of the ASEAN Collective Investment
discourse, the SC is able to gain insights and tap on Schemes (CIS) Framework. In 2018, the ASEAN CIS
relevant experience and expertise of other markets. Framework was enhanced to promote greater
cross-border offerings of ASEAN funds by allowing
fund managers to offer a broader range of products
Enhancing international integration to investors in the region. The ACMF’s key
and promoting ASEAN connectivity corporate governance (CG) initiative, the ASEAN CG
Scorecard Assessment continued to highlight
To safeguard the interests of Malaysia’s overall governance standards and promote investability of
international trade and economic agenda, cross- ASEAN public-listed companies (PLCs), with Malaysia
border investments and corporate expansions, the having the most number of companies with 14
SC has been actively involved in various regional and companies listed among the top 50 ASEAN PLCs
international committees as well as trade agreements. honoured at the ASEAN CG Awards in November.
This includes participation in:
Another important aspect of enhancing greater
• Asian Bond Market Initiative to facilitate regional connectivity is the mobility of capital market
greater market development and integration talent within the region. In October 2018, the
of regional bond markets; and Memorandum of Understanding (MoU) on the

PART 1 »» ENABLING SHARED VALUE GROWTH | 33

NEW_2-35.indd 33 2/21/19 9:27 AM