Risk magazine - Oct 2026
Cover art:
Adela Vavrecka, Flavours
Instagram: @bumbadoodles
Articles in this issue
Imminent US shake-up of LCR slated to include discount window
Adding Fed liquidity facility to bank regulation may help overcome stigma, raise lending capacity
Barclays built a system to spot AI agents that might go rogue
Research setup ‘reads the mind’ of LLM-based agents and flags if they’re about to do something risky
Kalshi seeks CFTC approval for 10-year US Treasury perp
Extended review period for first-of-its-kind contract will run until November 29
Swap spread swings push US corporates to rethink locks
Volatile swap spreads have issuers weighing a shift from swap locks to costlier Treasury locks for pre-issuance hedges
Hedge funds shelved yen basis bet on US deal
Funds exited USD/JPY flatteners tied to Japan’s $550bn pledge and new funding may not revive the trade
French regulator wants permanent changes to EU’s output floor
Push for capital relief faces resistance from supervisors in Finland and the Netherlands
Permanent FRTB reforms seen as vital for IMA adoption
Temporary relief granted in June has done little to encourage internal model use in Europe
Trading platforms evolve for a cross-asset market
As trading becomes increasingly cross-asset, platforms are evolving to deliver consistent workflows, connectivity, intelligence and end-to-end execution efficiency
People: CRO switches at Wells and Barclays, further SG shake-ups, and more
Latest job changes across the industry
Burning ambition: will Europe join the US in setting fire to the rules?
As the US dismantles post-crisis regulations, some think Europe will follow in a bid to boost economic growth
Can US perpetual futures solve their identity crisis?
Market could fall under four different regulatory categories, with sharply diverging outcomes
How to ensure the next Credit Suisse or SVB fails ‘well’
Regulators are planning changes to resolution rules after criticism that living wills were ignored in previous bank collapses
US Treasury clearing: competition, choice and readiness move to the fore
US Treasury clearing mandates and market reforms are reshaping clearing models, risk transfer and market infrastructure ahead of key implementation milestones
An agentic bank? Not so fast
With no clear definition or way to gauge ROI, claims of AI adoption should be taken with a pinch of salt
How hedge funds ‘hooked’ on carry fuelled rates mayhem in Europe
Short-volatility traders with ‘weak hands’ may have created a market that breaks easily under stress
CME’s single-stock futures rev up to overtake ‘ugly’ options trade
New cash-settled contracts with EFP facility could be an appealing alternative to reverse conversions
‘European SEC’ no silver bullet for growth
EU policymakers hope a single, centralised supervisor will help rev up Europe’s economy but critics are mustering
Managing risk to accelerate agentic AI value creation
Banks can accelerate agentic AI adoption by aligning each use case’s risks, controls and capabilities, enabling safe, accountable and value-driven deployment
Risk Asia Awards 2026: The winners
The winners of this year’s Risk Asia awards
Energy Risk Asia Awards 2026: The winners
Winning firms showcase exemplary risk management skills and services in tumultuous times
How AI is reshaping enterprise risk
A more connected and timely view of risk is becoming increasingly important to ERM, while agentic AI is reshaping how firms approach risk
Swiss franc loan losses are a grey rhino for EU consumer finance
Impact on Polish banks exposed a blind spot on modelling legal risk that has wider implications, says mBank CRO Marek Lusztyn
Op risk data: Crypto hacks keep coming
Also: Deepfake voice clone cons Intesa division; US FTC ramps up fines. Data by ORX News
The changing shape of fixed income trading
As volumes surge and electronification spreads, trading desks are rethinking how they access liquidity and the technology that supports it
Barclays, SocGen lead European banks to new corporate SRT highs
Corporate loan retained exposures up $31bn at European G-Sibs
JSCC’s cash securities division chalks up biggest-ever stress breach
Stress loss in excess of initial margin eclipsed default resources by ¥6.8bn in Q2
RBC, Scotiabank securitisation RWAs hit record highs
SEC-SA RWAs rise 23% across major Canadian banks, led by C$1.5bn increase at RBC
Securitisation exposures surge 80% at European banks as risk density falls
RWAs grow just 52% over four years as synthetic positions more than double
Basel III capital hit on G-Sibs jumps sixfold in H2 2025
Estimated increase in Tier 1 requirements rises to 1.8% – highest since 2023
One legal entity. Multiple IDs. Three business risks.
How fragmented entity IDs undermine risk, compliance and revenue decisions
The quadratic rough Heston+ model for short-dated options
Skew and curvature of 0DTE are captured with an extended Heston model
From Navier-Stokes to manuscripts by the kilo: AI’s impact on quant research
As AI produces results in bulk, finance needs trusted ways to assess provenance, reliability and significance
Podcast: Ariye Shater and Hariom Tatsat on AI explainability
Barclays quants discuss their method for monitoring AI with mechanistic interpretability
Investment workflows move beyond the trade
J.P. Morgan experts reveal how Vida’s digital tools enhance transparency, analytics, portfolio oversight and investment lifecycle management
