The circular lays down rules how SLB should be treated under the current liquidity regulations. In addition, detailed requirements on disclosure, the content of master agreements, processing and settlement aim at protecting creditors and investors engaged in SLB. Owing to the risks associated, the intention of this circular is that uncovered SLB will be restricted for unqualified investors. The Circular will take effect on 30 June 2010.
The translation of the Circular will be published at a later date.