For 23 years, regulators have been trying – and failing – to standardise banking book rates risk
No standard charge for banking books, but souped-up Pillar 2 still worries critics
Excess cash still too expensive to hold, say dealers
Companies face more liquidity risk as Basel III prompts banks to reject excess cash
This issue focuses on identifying specific sources of risk in a portfolio, the factor-based estimation of risk measures, and the impact of model risk on capital reserves.
Seven firms say deposit business is being complicated by LCR and leverage rules
First public consultation expected this month in long-running project
Greater flexibility welcomed, but problems may remain for mortgage lenders
Nonmaturity deposits and banks’ exposure to interest rate risk: issues arising from the Basel regulatory framework
The authors of this paper address the shortcomings of a major assumption in the Basel accords regarding interest-risk exposure and propose two models to incorporate optionality features that are often ignored.
Charge was felt to be "too difficult to capture" without complex rules
First consultation paper on banking book interest rate exposure is expected in March
Regulators working on Pillar II guidance as well as fixed capital regime
Regulators could cap the maturity banks assume for large chunks of their deposit base
HMT bill could destroy UK structured deposits market
New regulation on both sides of the Atlantic threatens to make money-market funds less attractive for corporate treasurers. Banks are hoping this cash will flood into fixed-term deposits instead, helping them meet incoming liquidity ratios, but they’re...
A new ratio regime
Best in Italy
Optimising retail deposit pricing
Banks reduce cross-border funding of peripheral eurozone assets in an attempt to mitigate redenomination risk - but funding gap still tops £10 billion for Spain
The impact of an increasingly competitive landscape for retail deposits in Australia will felt in pricing, not liquidity – with the growing appeal of other asset classes a more significant threat to deposit levels
China insurers now allowed to invest in hybrid, convertible bonds and infrastructure asset and real estate
Attempts to match assets and liabilities on a country-by-country basis could be threatened if Greece exits eurozone, lenders fear