What’s New on the FSA Website

Week of March 1, 2021 - March 5, 2021

This page contains the latest in events, developments, and updates to the FSA website.

Public Comments

(The following public comments are available in Japanese)

March 5, 2021

Publication of the draft regulatory notice designating certain rules based on the "Cabinet Office Order on Financial Instruments Business, etc." <Summary> The FSA proposed the draft regulatory notice designating certain rules based on (the provisions of Article 117, Paragraph 38, Item 2 and Paragraph 48 of) the "Cabinet Office Order on Financial Instruments Business, etc." In transactions of crypto-asset-related derivatives and regulated crypto-asset-related OTC (over-the-counter) derivatives, when all or part of the security deposit to be received by a financial instruments business operator is substituted by certain crypto-assets, the substitute price shall be the amount set forth in the rules of the Financial Instruments Firms Association certified by the FSA, if there is no such amount set forth in the provision of Article 68, Paragraph 2 of the "Cabinet Office Order on Financial Instruments Business, etc." (Cabinet Office Order No. 54 of 2007). In this regard, the proposal intends to expressly designate the rules of Financial Instruments Firms Associations certified by the FSA as applicable rules in transactions of crypto-asset related derivatives and regulated crypto-asset-related OTC derivatives.

March 5, 2021

Publication of the draft regulatory notice designating certain rules based on the "Cabinet Office Order on Crypto-Assets (Virtual Currency) Exchange Service Providers" <Summary> The FSA proposed the draft regulatory notice designating certain rules based on the provision of Article 25, Paragraph 7 of the "Cabinet Office Order on Crypto-Asset (Virtual Currency) Exchange Service Providers." In margin trading of crypto-assets, when all or part of the security deposit to be received by a crypto-asset exchange service provider is substituted by certain crypto-assets, the substitute price shall be the amount set forth in the rules of the Certified Association for Payment Service Providers* certified by the FSA. The proposal intends to designate the "Rules for Crypto-Asset Margin Trading" (provisional English title) set forth by Japan Virtual and Crypto Assets Exchange Association (JVCEA) as applicable rules in margin trading of crypto-assets. * The term "Certified Association for Payment Service Providers" in this context means a general incorporated association that has been granted certification by the FSA.

Press Releases

(The following press releases are available in English)
Councils

March 2, 2021	“The Council of Experts Concerning the Follow-up of Japan’s Stewardship Code and Japan’s Corporate Governance Code” the Twenty- Fifth Council

International

March 2, 2021	“FIN/SUM 2021”
March 2, 2021	G20: Efforts on Governance Issues in Decentralized Financial Systems ”BGIN” - new global network

Insurance

March 2, 2021	Exchange of Letters on Co-operation in the area of Insurance Supervision with the European Insurance and Occupational Pensions Authority

(The following press releases are available in Japanese)

Councils

March 3, 2021	Establishment of the "Working Group on Social Bonds" under the "Expert Panel on Sustainable Finance" (provisional English titles for both Working Group and Expert Panel) <Summary> The FSA has established the "Working Group on Social Bonds" under the "Expert Panel on Sustainable Finance" (provisional English titles for both Working Group and Expert Panel) in order to discuss the formulation of practical guidelines for social bonds in response to requests from the economic and other organizations.
March 2, 2021	Publication of the agenda and handouts of the fourth meeting of the "Study Group on Impact Investment" <Summary> The FSA published the agenda and handouts of the fourth meeting of the "Study Group on Impact Investment," which was held on January 29, 2021, co-hosted by the FSA and the National Advisory Board of the Global Steering Group for Impact Investment. The Study Group meets regularly (on a bimonthly basis) to deepen the understanding of "impact investment" among capital market participants and government authorities.
March 2, 2021	Publication of the agenda and handouts of the fourth meeting of the "Expert Panel on Sustainable Finance" <Summary> The FSA published the agenda and handouts of the fourth meeting of the "Expert Panel on Sustainable Finance," which was held on March 2, 2021. The Expert Panel is composed of business, financial, and academic experts with observers of officials from pertinent ministries and agencies. The FSA (Strategy Development Division, Strategy Development and Management Bureau) serves as the secretariat.

Banks

March 5, 2021

Requests for financial measures to deal with disasters caused by landslides in Itoigawa City, Niigata Prefecture (The Kanto Local Finance Bureau) <Summary> The Kanto Local Finance Bureau and the Bank of Japan’s Niigata Branch issued a statement titled "Financial Measures to Deal with Disasters Caused by Landslides in Itoigawa City, Niigata Prefecture (in 2021)" to the relevant financial institutions. The statement requests financial institutions in Niigata Prefecture to appropriately deal with victims of the disaster considering their circumstances, such as by making the repayment of deposits flexible.

March 3, 2021

Publication of the implementation report of the Business Strengthening Plans (as of September 2020) <Summary> The FSA published the implementation report of the Business Strengthening Plans (as of September 2020) pursuant to the "Act on Special Measures for Strengthening Financial Functions."

Securities

March 5, 2021	Administrative penalty charge against an individual for market manipulation regarding stocks of KIMURATAN CORPORATION <Summary> On March 4, 2021, the FSA issued an order to impose an administrative penalty charge against a foreign domiciled retail investor for market manipulation regarding stocks of KIMURATAN CORPORATION.
March 5, 2021	Administrative penalty charge against an individual for market manipulation regarding stocks of Daiwa Heavy Industry Co.,Ltd. <Summary> On March 4, 2021, the FSA issued an order to impose an administrative penalty charge against an individual for market manipulation regarding stocks of Daiwa Heavy Industry Co.,Ltd.
March 5, 2021	Administrative penalty charge against an individual for committing insider trading regarding stocks of Japan Drilling Co., Ltd.* by using insider information received as an officer of the entity <Summary> On March 4, 2021, the FSA issued an order to impose an administrative penalty charge against an individual for committing insider trading regarding stocks of Japan Drilling Co., Ltd.* by using information received as an employee of the entity. * Japan Drilling Co., Ltd. was delisted in July 2018.
March 5, 2021	Administrative penalty charge against an individual for market manipulation regarding stocks of BEAT HOLDINGS LIMITED <Summary> On March 4, 2021, the FSA issued an order to impose an administrative penalty charge against an individual for market manipulation regarding stocks of BEAT HOLDINGS LIMITED.
March 5, 2021	Updated list of entities that are operating financial instruments businesses without proper registration (The Kanto Local Finance Bureau) <Summary> The FSA and the Kanto Local Finance Bureau issued warnings to entities that are operating financial instruments businesses without proper registration. (See the updated lists of Japan-based entities* and foreign-based entities). * This list also includes the warned non-registered entities with untraceable/unidentified addresses.

Insurance

March 5, 2021	Authorization of the merger of Sony Life Insurance Company, Ltd. and Sony Life With Insurance Co.,Ltd. <Summary> The FSA authorized the merger of Sony Life Insurance Company, Ltd. and Sony Life With Insurance Co.,Ltd., pursuant to the "Insurance Business Act." The corporate name of the post-merger surviving company will be Sony Life Insurance Company, Ltd.

 

Others

March 5, 2021

Submission of a bill aimed at revitalizing the Japanese economy and fostering the enhancement of regional banks’ sustainability of business models to the Diet <Summary> The FSA submitted to the Diet a bill aimed at revitalizing the Japanese economy and fostering the enhancement of regional banks’ sustainability of business models. The bill mainly concerns: ⑴ review of the scope of permissible activities of banks so that they can engage in a wide range of businesses that contribute to the building of a sustainable economy (e.g. digital transformation support and staffing services for SMEs) ⑵ establishment of a pre-registration entry scheme in order to facilitate the entry of overseas investment managers, and ⑶ establishment of a scheme to grant funds for regional banks that will drastically improve their business efficiency through measures such as mergers and the establishment of a joint holding company.

March 1, 2021

Online parent-child (family) cooperative workshops <Summary> The FSA will hold online workshops for elementary school students and their parents on March 26. The workshops focus on money-related topics, including cashless payments and day-to-day expenses. The workshops use active learning methods so that the attendees can enjoy learning about money-related topics.