A. Internal control standard and fluidity ratio in relation to derivatives (Article 2-24.1.4.d and Article 2-41-2 of draft)
Liability is assigned to financial investment companies having outstanding balances with issuance of derivative-linked securities to maintain fluidity ratio (1·3 month) at 100% or higher level and provisions are provided as the base of internal control standard in relation to possession, etc. of foreign currency current assets.
B. Relaxation of the burden caused by prudential regulation of loans to and investments in initial mid-sized companies (Article 3-14 of draft)
The burden of prudential regulation to stock companies is relaxed by excluding loans to and investments in mid-sized companies under Restriction of Special Taxation Act from net capital deduction items.
C. Inclusion of venture loans in concurrent business of stock companies (Article 4-1 of draft)
In case of stock companies which operate investment trading of securities and OTC derivatives or are specified for medium and small enterprise, loan to venture companies is allowed as concurrent business.
D. Stock dividend new stocks are also accepted as collateral securities for credit granting (Article 4-27 of draft)
Stock dividend new stocks of which the right was determined but which were not warehoused are also accepted as collateral securities.
E. Expanded options of consumers in relation to the method of voluntary redemption of collateral (Article 4-28 of draft)
The order of debt repayment through disposition of collateral is currently uniformly prescribed but it is allowed to determine the repayment order of interest and principal upon request by the investors.
F. Improvement of provisions related with corporate financing assets (Article 4-102-6 of draft)
Venture capitals are induced by excluding SPC and financial companies from the range of corporate financing assets in relation to the capitals supplied by comprehensive financial investment business through issued notes.
G. Issuance of certificates to certified/registered companies (Article 2-3.3 of draft)
Financial Services Commission issues certificate or registration certificate to the companies certified or registered for financial investment business.
