Thursday, September 15, 2011

European Central Bank Introduces New Data Sets

Author: David Schwartz J.D. CPA

Market events over the past several years have made it quite clear that meaningful and transparent financial data are vital to effective monitoring of market participants as well as understanding the scale of the shadow banking activities and their interconnectedness with the traditional banking system. In a June address in Frankfort, Jürgen Stark, a member of the Executive Board of the European Central Bank (ECB), announced new statistical data sets intended to improve the existing balance sheet and interest rate reporting by "monetary financial institutions." The ECB has introduced these new data sets as part of their effort develop relevant and real-time policies to assess systematic risks and keep apace of innovations and movements in the financial landscape.

Comments (0)
Number of views (6897)

Thursday, September 15, 2011

UK Independent Commission on Banking Issues Recommendations

Author: David Schwartz J.D. CPA
The UK Independent Commission on Banking's much anticipated report examining options for the reform of the country’s banking industry was released on September 12.  The report proposes several changes to the structure of the UK banking system that potentially may simplify identification and remediation of failing financial institutions and reduce the probability and effect of bank failures, including the novel idea of "ring-fencing" of retail and wholesale/investment banking activities within universal banks to insulate UK retail banking services from investment banking risk. 


 
Comments (0)
Number of views (5770)

Monday, September 5, 2011

FSB Identifies Five Areas for Detailed Study

Author: David Schwartz J.D. CPA

The Financial Stability Board announced on September 1 the formation of dedicated work streams to help gauge the case for further regulatory action in five areas associated with shadow banking, notably including securities lending and repos. 

Comments (0)
Number of views (6399)

Friday, September 2, 2011

BOE’s Paul Fisher Examines Tail Risks and Contract Design

Author: David Schwartz J.D. CPA
In a September 1, 2011 speech at Clare College in Cambridge, Paul Fisher, Executive Director for Markets of the Bank of England, outlined his thoughts on ways risk taking is executed and how contracts between parties assuming these risks can have profound effects on systematic stability beyond the normal consideration of formal regulations.  In balancing public policy objectives of appropriate investor protection and systemic stability, it is important that that regulators and market participants critically evaluate their exposures, and take into account stress correlations with an eye on capturing tail events properly.

Comments (0)
Number of views (8694)

Friday, August 12, 2011

Belgian Regulator Bans Short Selling of Bank Securities

Author: David Schwartz J.D. CPA
In reaction to high volatility in the financial markets, on August 11, 2011, the Belgian Financial Services and Markets Authority (FSMA) banned shorts selling on of shares of certain Euronext Brussels listed banks and financial institutions.  The FSMA also banned short selling of related derivatives. 
Comments (0)
Number of views (4097)
RSS
First88899091929394959697Last