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Latest on Regulation
BoE unveils ‘final major piece’ of UK resolution regime
Consultations outline how the Bank of England will assess “resolvability” of banks
Proposed repo market reform could kick-start China CDS
Industry hopes easier shorting of bonds will help banks hedge credit protection sales
EU lawmakers delay FRTB capital charges
Leaked paper potentially pushes market risk capital charges beyond Basel’s 2022 deadline
Latest
Quotes
Will US stock exchanges apply for recognition in Europe? What is their interest? They don’t have one. They have most of the trading on shares such as Google or Apple
Financial industry lobbyist
We would be concerned in cases where a CCP is expanding its membership too widely to also include those institutions that perhaps don’t have the necessary the insight into how to manage risk effectively
Miles Peckham-Cooper, Standard Chartered
The proposal seems to have identified one [Brexit] cost regulators don’t want people exposed to, and recognises the bilateral margin issue, but there’s much more to it than that
Michael Voisin, Linklaters
Editor's Choice
Banks warned of capital add-ons for legacy Libor contracts
UK regulators’ letter to firms could be followed by Pillar 2 charge to speed transition to Sonia
Big Figure
Unlevel playing field
The proposal by some European lawmakers to introduce bank-style market risk rules for non-bank proprietary traders would have very unequal implications, depending on which asset classes the firms trade. In the worst case, a fixed income arbitrage portfolio could face a 5,100% capital increase.
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Comment
How to stress-test portfolios for Brexit and trade wars
Podcast: Montoro on FRTB thresholds and non-modellable risks
Our Take
HM Treasury’s Brexit surprise
Lobbing out the Clobs?