News
RBC loses senior op risk managers in wave of cuts
Senior group op risk director and US head of controls and governance among 450 to depart bank
LCH limits substitution to tackle quarterly collateral flight
CCP clamps down on bond-for-cash switches driven by reporting and quarter-end repo spikes
Experts dismiss research showing flaw in value strategies
Academics who argue quant value strategies select companies with inflated accounts miss the point, say industry players
ECB requests powers to regulate CCPs
Brexit heightens concern over importance of central counterparties
People: Bowen to depart CFTC, Giancarlo sits nomination hearing
Changes at the CFTC; Evolution Markets launches US natural gas basis brokerage; CHS elects new CEO
Fed examiner calls on banks to rethink KRIs
Most banks fail to establish explicit link between KRIs and identified risk exposures
US dealers wade into European CCP relocation debate
CFTC hearing warns of increased margining costs and a pre-Brexit client onboarding crunch
Banks move to model smaller op risk losses
Credit Suisse is using scenario analysis to model the risks associated with internal fraud losses
Lawyers divided over Isda’s China netting memo
New legal guidance spells out how close-out netting may be achieved, but critics say it’s impractical
OCC warns on cyber risks from subpar patches at US banks
Regulator says banks have good track record overall, but exams reveal weaknesses
Better data key to cyber risk underwriting, say practitioners
Lack of loss data means predictions are a problem
Fed official: banks must recover from cyber attack in two hours
“If you’re waiting for us to give you regulation, you’re behind the curve,” says Fed’s Ferlazzo
CCAR helps identify op risks, banking experts say
Banks forced to consider link between risks and macroeconomic factors
SEC liquidity rules may trigger forced sales, funds warn
Investors may be forced to sell illiquid assets in a crisis to avoid compliance breaches
BlackRock’s Prager backs unified fixed-income trading concept
A single venue for trading bonds, ETFs and derivatives is 'on the drawing board'
CME to pass on Ice CDS administration charges
Clearing house to hike CDS index trade fees from July after Ice’s determinations committee takeover
Dealerweb doubles repo volume on electronic trading boost
Single-fee model gains traction among repo traders
DTCC’s $74 billion liquidity charge riles members
Some firms may stop clearing US Treasury trades if the CCLF is implemented
R3 claims progress on smart contracts standards
DLT consortium under pressure to show cohesion after JP Morgan departure
Overlooked yield-curve measure a ‘proven indicator’ of stress
Location of bump in term premia foreshadows business cycle in 15 months, thinks research firm
Revised SMA could allow banks to ignore past op risk losses
Leaked proposals say loss component will be left to national regulators, threatening an unlevel playing field
People moves: ANZ makes senior changes in Apac
Also: Priestley leaves JPM; Hong Kong’s Insurance Authority staffs up; ABN Amro hires Simon Wood; and others
Banks turn to synthetic derivatives to cut initial margin
Options-based instruments can halve initial margin for some non-cleared products, say dealers
Three lines of defence model still evolving, say practitioners
Clearer split in responsibilities between first and second lines needed, say op risk chiefs