On 9 December 2025, the U.S. Commodity Futures Trading Commission (CFTC) issued No-Action Letter 25-42 to streamline compliance for cross-border swap transactions.
The letter aligns with the 2020 Cross-Border Rule by standardizing key definitions such as “U.S. person” and “guarantee,” removes the need for conduit affiliate analysis, and allows continued reliance on prior classifications beyond the original 2027 sunset date. It also supersedes older no-action letters, reducing regulatory inconsistencies and simplifying compliance processes for market participants.
On 20 November 2025, the European Commission proposed major changes to the Sustainable Finance Disclosure Regulation (SFDR) to simplify disclosures and strengthen investor protection. The new framework introduces three product categories—Transition, Sustainable, and ESG Basics—each requiring a 70% investment commitment and exclusion of harmful industries. Simplified two-page templates will replace current disclosure rules, and entity-level obligations like principal adverse impacts are removed.
Only products in these categories may use sustainability-related terms in marketing. Taxonomy disclosures become optional, with a 15% safe harbor for aligned assets. Application is expected 18 months after adoption, likely in 2028, marking a significant shift toward clearer, stricter sustainability standards.
In brief This marks an important, substantial step towards a new harmonized and more restrictive regime for branches…
In brief On 25 September 2025, the Monetary Authority of Singapore (MAS) introduced initiatives aimed at promoting responsible advertising and sharing of financial content online. The MAS has issued the following guidance: By establishing expectations for both financial institutions (FIs) and online content creators to conduct digital advertising in a…
Earlier this summer, the US Administration’s Working Group on Digital Asset Markets published a report, entitled Strengthening American Leadership in Digital Financial Technology. The Report contains recommendations for revising existing legislation and IRS guidance regarding trusts engaged in cryptocurrency staking, Code provisions that may deny recognition of gains or losses by active securities traders, and reporting requirements for participants in digital asset transactions and for the exchanges that facilitate such activities
On 25 September 2025, the Australian Government released draft legislation to regulate Digital Asset Platforms (DAPs) and Tokenised Custody Platforms (TCPs). The proposed law requires operators of these platforms to hold an Australian Financial Services Licence and comply with tailored disclosure, conduct, and licensing obligations. It aims to close regulatory gaps, enhance investor protection, and position Australia as a credible hub for digital asset innovation. Consultation on the draft closes on 24 October 2025.
The European Supervisory Authorities report steady improvement in principal adverse impact (PAI) disclosures under the SFDR, especially among larger financial groups. However, disclosures often lack quantifiable actions, and “non-consideration” statements remain generic. The ESAs recommend clearer, shorter, and machine-readable disclosures, more proportional requirements, and less frequent reporting to enhance quality and relevance. Further regulatory guidance may follow to address persistent shortcomings.
The Financial Conduct Authority (FCA) has said following its recent multi-firm review of how its climate disclosure rules have been operating that it will look to “streamline and enhance” its sustainability reporting framework and has pledged to “simplify disclosure requirements”. This is welcome news for the industry and seems to be driven by feedback from the asset management sector that Task Force on Climate-related Financial Disclosures (TCFD) reporting rules are overly granular. There also seems to be a move towards consolidation across UK sustainability reporting frameworks as the FCA will consider the Sustainability Disclosure Requirements (SDR), International Sustainability Standards Board (ISSB) and transition planning going forward.
Dubai International Financial Centre (DIFC) has rolled out amendments to its Data Protection Law that came into effect in July 2025 following a consultation earlier in the year. The updates bring the law into greater alignment with the GDPR’s approach to enforcement, providing additional protections for data subjects.
The Companies and Limited Liability Partnerships (Miscellaneous Amendments) Act 2024 amended, from 16 June 2025, the Companies Act 1967 (CA) and the Limited Liability Partnerships Act 2005 along with related regulations, to address the risk of misuse of nominee arrangements — an area identified as vulnerable to abuse and potentially the cause of illicit activities.
These amendments enhance Singapore’s anti-money laundering regime to Enhance statutory register disclosures to meet FATF standards, prevent accidental omissions, and improve transparency and accuracy of nominee arrangements through timely and ongoing updates.