Japan Industry Group May Penalize Banks Breaking Debt Sale Rules
- Working group discussed transparency issues in corporate bonds
- Measures may include disclosure of investor names, purchases
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A Japanese financial industry group is planning to craft guidelines to boost transparency in the nation’s corporate bond issuance market, where new offerings often go partially unsold without the knowledge of issuers.
Members of the Japan Securities Dealers Association’s working group on measures to increase transparency discussed setting up guidelines to help with the issue, according to minutes of last week’s meeting that were seen by Bloomberg. The group’s fourth meeting looked at steps such as making underwriters disclose investors’ information to issuers including names and the amount of bonds bought. The minutes haven’t been made public.