China’s regulator moves to curb snowball issuance

The China Securities Regulatory Commission (CSRC) has issued new internal guidance on risk management for over-the-counter (OTC) derivative products to local brokerage houses to tighten new exposure to these products, according to industry sources familiar with the matter. The regulator has grown to learn snowball products over the years, including pricing the coupon in that 10% to 20% range The securities houses were told to suspend increasing new exposure to China’s A shares-linked O