Editor's letter – Managing liquidity risk amidst regulatory reforms

It may begin to sound like a broken record, but new financial regulation will have long-term consequences for energy companies. As the pieces of the new regulatory jigsaw are put together on both sides of the Atlantic, the potential impact is coming to light: future investment is likely to suffer as liquidity becomes tighter and investors opt out of difficult markets.

Investors are already complaining that US restrictions on proprietary trading – imposed via the Volcker rule - are harming