Malaysia regulators unveil new rules for derivatives

The introduction of Malaysia’s Capital Markets and Services (Amendment) Act 2011 will shake up the country’s risk management markets and supervisory processes, resulting in the Securities Commission gaining oversight for derivatives and systemic risk, as well as heralding the formation of a trade repository in the country

The Malaysian Capital Markets and Services (Amendment) Act 2011 (CMSA) received royal assent on August 26 and was gazetted on September 15. However, the CMSA will not come into force until the Minister of Finance sets a date, which will be published in future gazettes. The Minister of Finance also has the power to assign different dates for different provisions of the CMSA. The planned introduction of a trade repository will take place two years from the effective date of the CMSA with a