by David Schwartz J.D. CPA | Nov 19, 2014 | All, Change Overview and Rationale, Formal Regulatory Remedies
The financial crisis of 2007-08 was a crisis of liquidity. Facing deep uncertainty about the condition of counterparties and the value of collateral assets, investors refused to offer new short-term lending or even to roll over existing repos and similar extensions of...
by David Schwartz J.D. CPA | Oct 28, 2014 | All, Change Overview and Rationale
These heightened capital requirements for licensed banks may trigger even more regulatory arbitrage than was observed in the recent past, thereby inducing a large migration of banking activities towards the shadow banking system. The higher solvency of the licensed...
by David Schwartz J.D. CPA | Oct 19, 2014 | All, Change Overview and Rationale, Formal Regulatory Remedies
On June 25, 2014, the Securities and Exchange Commission finalized new rules and interpretive guidance addressing the cross-border application of a security-based swap regulatory framework called for under the Dodd-Frank Act. These final rules are the first of a...
by David Schwartz J.D. CPA | Oct 15, 2014 | All, Change Overview and Rationale, Formal Regulatory Remedies
Securities financing transactions such as repos are important funding tools for a wide range of market participants, including non-bank financial firms. The implementation of the numerical haircut floors on securities financing transactions will reduce the build-up of...
by David Schwartz J.D. CPA | Sep 23, 2014 | All, Change Overview and Rationale, Formal Regulatory Remedies
Following its September meeting in Cairns, the Financial Stability Board (FSB) has published a press release highlighting some of the vulnerability the FSB still sees as threatening the global financial system. The release also lays out some work plans for some of the...
