Japan’s Financial Services Agency: Publication Of The Interim Note By The “Study Group On The Financial System” Under The Financial System Council

The “Study Group on the Financial System” under the Financial System Council (chairman: Shinsaku IWAHARA, Professor of Law, Waseda Law School) has been discussing since November 2017 a shift from an entity-based regulatory framework to a function-based, cross-sectoral regulatory framework under which the same regulations apply to activities with the same functions and risks, paying attention to a right balance between innovation and user protection.

Although further and deeper discussion is required, the study group has compiled and published the interim note, “Toward function-based, cross-sectoral financial regulations”, to summarize the discussion so far.