Identifying Reportable Derivatives Contracts
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      Singapore: Under what circumstances does a FX contract need not be reported?

      The definition of FX derivatives contracts excludes certain FX contracts (termed “excluded  currency contract” in SF(RDC)R), hence such contracts are not in scope and need not be  reported. The intent is to exclude from the reporting regime spot FX contracts and FX  contracts which arise due to the sale and purchase of securities in a different currency. Spot FX contracts are contracts which are intended to be settled by the actual delivery of  the referenced currencies, whether immediately or within a period which is no longer  than the period determined by the market convention for delivery of the currency pair. 

      The definition of “excluded currency contract” can be found in regulation 2 of SF(RDC)R.  The table below summarises such FX contracts. 

      Reference:  

      • Regulation 2 of the SF(RDC)R 

       

      Contract Type 

      Settlement Period

      1 

      FX contracts settled by actual delivery of  underlying currency, involving currency  pairs between:  

      • Euro 

      • US Dollar 

      • Japanese Yen 

      • Australian Dollar 

      • Swiss Franc 

      • Hong Kong Dollar 

      • New Zealand Dollar 

      • Singapore Dollar 

      • Norwegian Krone 

      • Mexican Peso

      Within 2 business days 

      2 

      FX contracts settled by actual delivery of  underlying currency, involving any other  currency pairs

      Within the earlier of – 

      (i) the longer of the two customary  spot settlement periods of the  currency pair; or  

      (ii) 7 business days. 

      3 

      FX contracts for the sole purpose of buying  or selling a security denominated in  another currency 

      Within the earlier of – 

      (i) the settlement period of the  underlying security; or  

      (ii) 7 business days.