Basel Committee on Banking Supervision (BCBS)
The thirst for liquidity
Bank supervisors the world over are set to revise liquidity requirements for financial institutions in a bid to improve financial stability. But the banking community – already struggling under the weight of new regulation – is not convinced the efforts…
Capital punishment?
At a landmark meeting early this month, the Basel Committee will finalise its proposals for a host of measures, including counter-cyclical capital buffers and a leverage ratio. The consultation in early 2010 will be the industry’s last chance to fight…
New FSA liquidity rules aim to strengthen UK banking industry
David Ellis and Silvano Stagni consider whether the UK is looking to lead the shape of the new regulatory order, whether there is a ‘first-mover advantage’ and whether, acting alone, it can control financial liquidity in enough depth to put the UK’s…
Confidence crunch
Many financial institutions calibrate their required level of economic capital by considering the probability of default associated with a target debt rating. However, as the financial crisis has shown, confidence in a bank can erode before its Tier I cap
No accounting for leverage
The Basel Committee is set to unveil proposals for a leverage ratio in December as a means of constraining the excessive growth of bank balance sheets. But risk managers warn the proposals risk creating an unlevel playing field between US and European…
Being stressed is good for you
Increased regulatory focus means stress testing can no longer play a minor role in banks’ strategic thinking and capital considerations. Many institutions require cultural and procedural change to make this happen, but are they capable of bringing it…
Confidence crunch
Many financial institutions calibrate their required level of economic capital by considering the probability of default associated with a target debt rating. However, as the financial crisis has shown, confidence in a bank can erode before its Tier I…
The liquidity lifeline
The Basel Committee intends to introduce internationally binding liquidity standards, to include both a requirement for a liquid assets buffer and longer-term structural funding constraints. How will the measures be calculated and what will the…
Torrential reign
It never rains but it pours. International negotiations over the best way to regulate banks and financial markets continue, but bankers had better be prepared because much of what has been discussed in recent months will find its way into