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Regulatory disclosures

Allocation Policy

This webpage summarises Standard Chartered Bank’s Allocation Policy as would typically apply to its Capital Markets business.

As a financial institution offering a wide range of products and services to a diverse client base, Standard Chartered Bank (“SCB”) recognises that on occasion, conflicts of interest may arise. The allocations process in the context of a primary offering of debt securities (“securities offering”) is one such example. Accordingly, SCB has designed its Allocation Policy to manage those conflicts effectively and aims to allocate debt securities to its investors in a fair and transparent manner, in accordance with applicable regulations and market conduct.

Regional and product scope

The approach set out on this webpage reflects SCB’s position globally and is applicable to all securities offerings by way of a best efforts book building exercise.

Conflicts management arrangements

SCB has a number of arrangements in place to manage the competing interests of its issuer clients, investor clients and internal desk(s) during a securities offering. These arrangements include the separation of the Capital Markets and Sales and Trading teams involved in the offering by way of physical barriers, information barriers and role distinction. SCB also has procedures in place to control the flow and oversight of information communicated between these different teams.

Allocation principles

In allocating debt securities to investors, SCB would expect to observe one or more the following principles:

Allocation decision criteria

SCB’s allocation does not adhere to a fixed quantifiable methodology. It is generally based on judgement and an assessment of the merits of allocating to a particular investor. SCB will take the following factors into consideration:

Selecting investors to participate in the pre-marketing and marketing stages

Participation during the pre-marketing and marketing stages of a securities offering are factors, SCB will take into consideration in determining final allocations. Therefore, on occasions when there is overwhelming participation in a roadshow, and when conducting a market sounding or other pre-marketing exercise, SCB will make participant recommendations based on the following considerations: