Feature
SOX internal control costs decline
BOSTON – The cost of implementing the Section 404 internal control requirements of Sarbanes-Oxley (SOX) declined significantly in 2005, according to a study commissioned by the four largest accounting firms.
QIS5 results released
The Bank for International Settlements (BIS) has released the results of the fifth Quantitative Impact Study (QIS5). The new study, which reflected all recent changes to the Basel II framework, shows that the minimum capital requirements would decrease…
Mifid benefits for UK 'hard to grasp'
LONDON – The Financial Services Authority (FSA) has confirmed a final timetable for the implementation of the Markets in Financial Instruments Directive (Mifid) in the UK but has admitted that the cost of the new regime will be considerable and the…
Make UK the winner of Mifid race, say regulators
EU praises UK Mifid approach LONDON – The UK's approach to the implementation of the Markets in Financial Instruments directive was praised by an EU official at a mid-May Financial Services Authority conference in London.
BCBS issues guidance on the use of the fair value option for financial instruments
The Basel Committee on Banking Supervision (BCBS) has released supervisory guidance on the use of the fair-value option for financial instruments by banks. The principles-based guidance is structured by seven principles that are classed as either…
UK FSA publishes implementation bulletin for the CRD
The Financial Services Authority (FSA) in the UK has published issue three of its Capital Requirements Directive (CRD) implementation bulletin for investment firms, banks and building societies.
Japan’s FSA amends Basel II implementation guidelines
The Financial Services Agency (FSA) in Japan has amended guidelines for the implementation of Pillar II of the Basel Accord. The guidelines for its early warning system framework were revised to clarify and further emphasise the Agency’s approach to…
CEBS to continue to prioritise work surrounding CRD
The Committee of European Banking Supervisors (CEBS) has published its annual report for 2005, in which it outlines areas of ongoing work and priorities for the remainder of this year. According to the report, the “main focus of the Committee’s work in…
Deutsche Bank looks east
German investment bank Deutsche Bank has launched two new structured products with exposure to Japanese and East Asia equities. The Protected Nikkei and the Protected Far East offer participation in the respective equity markets and 100% capital…
Abbey hires head of intermediary business
Abbey Financial Markets has hired Gary Dale as head of business development for its UK and offshore IFA, private banking and partnership channels. Dale will build on external distributions links through life and pensions partners as well as other…
CEBS seeks comments on stress testing
The Committee of European Banking Supervisors (CEBS) has begun a consultation on technical guidance for stress testing under the Capital Requirements Directive (CRD). CP12 will aim to provide additional technical guidance to regulators, and complements…
BIS urges firms to strengthen risk management practices
The Bank for International Settlements (BIS) has released its quarterly review, in which it details the organisation’s activity over the past three months. In it, the BIS notes potential strains to the financial system and highlights where further work…
Banks' management of credit risk should help them withstand shocks, says S&P
The global banking industry is generally strong and able to deal with sudden shocks because of its improved risk management, according to research by rating agency Standard & Poor's.
Risk 's Derivatives and Risk Management Summit Europe 2006: Regulators ‘must clarify MiFID' to prevent unfair competitive advantages arising
Financial institutions across the European Union’s 25 member states must lobby their individual regulators to ensure that jurisdictional interpretation and implementation of the Markets in Financial Instruments Directive (MiFID) next year does not…
Risk 's Derivatives and Risk Management Summit Europe 2006: Dealers may face new raft of CDO litigation
Banks and securities firms could be hit with a wave of new litigation as they are still not properly explaining to investors the full risks associated with collateralised debt obligation (CDO) investments, said speakers at Risk ’s Derivatives and Risk…
Risk 's Derivatives and Risk Management Summit Europe 2006: Hedge funds irked by culture of disclosure
Hedge fund managers have warned that increased demands for disclosure from their institutional investor clients and regulators could have some negative consequences for performance and market liquidity.
Risk 's Derivatives and Risk Management Summit Europe 2006: Regulators and ratings prevent meaningful Basel II savings
Banks may be unable to benefit from regulatory capital reductions under the Basel II reforms because of local rules and the requirements of rating agencies.
QIS5 results reflect similar results to QIS4, says Comptroller of the Currency
US Comptroller of the Currency John Dugan said the “results between QIS4 and QIS5 are more similar than they would first appear” at a dinner held last night at the offices of JP Morgan Chase in London.
VAR provides inadequate figures, according to CRO
Value-at-risk provides inherently flawed results, according to Kenneth Winston, the global chief risk officer of Morgan Stanley.
Companies need to lobby regulators to prevent FSA best execution model
Financial firms affected by the Markets in Financial Instruments Directive (Mifid) need to argue hard against the Financial Services Authority (FSA) in the UK’s model for best execution, according to Simon Morris, a partner at CMS Cameron McKenna.
Isda publishes results of operations benchmarking survey
The International Swaps and Derivatives Association has published the results of its 2006 benchmarking survey. The association has been collecting results for this survey annually since 2000 and analyses performance data on operations of privately…
Basel Committee issues principles on home-host information sharing The Basel Committee on Banking Supervision (BCBS) has issued a paper on general principles for information-sharing between home and host supervisors for Basel II.
The two relevant principles are that a bank will be held accountable by its home supervisor (principle two) yet subsidiary banks may have to meet specific needs of its host country.
FSA issues consultation paper on regulatory reporting
The Financial Services Authority (FSA) in the UK has issued consultation paper 06/11, Integrating Regulatory Reporting (IIR), for investment managers, securities and futures firms, operators and trustees of collective investment schemes, venture capital…
Jefferies makes further hire in equity structured products
US based investment bank Jefferies has continued to expand its structured products business with the recruitment of Mark O’Donnell as its New York-based head of equity structured products. O'Donnell will partner with Alex Wohl, who recently joined as…