Asifma guidelines hope to soften PB rebate criticism

Author: Ashley Lee | Published: 2 Jul 2014

The Asia Securities Industry and Financial Markets Association (Asifma) has released its suggested model form on disclosing rebates to private banks in bond offerings.

Issuers offer rebates to private banks as intermediaries to encourage them to sell bond offerings to their high net worth individual (HNWI) clients, although the savings cannot be passed on to clients. Rebates can be $0.25 for every $100 in bonds purchased, but some are more generous; this March, Singapore-listed...