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Auction rates securities investigations gathering steam

Regulatory investigations into the collapse of the auction rate securities (ARS) market are getting under way in the US, while investors stuck holding illiquid paper turn to the fledgling secondary market in an attempt to unwind their positions.

Looking forward to back testing

With increasing challenges to measure value-at-risk and meet high regulatory requirements, the focus has turned to back testing as a way of assuring models' adequacy. Carsten S Wehn proposes a new regime of back testing, combining state-of-the-art…

Banks pushed to change incentives

Banks are coming under increasing pressure from regulators, politicians and bank shareholders to review their pay and bonus structures to ensure traders are not incentivised to take excessive risks.

Really too big to fail?

Are bulge-bracket investment banks really too big to be allowed to fail? Despite the upheavals such a failure would cause, the consequences may have been overblown, argues David Rowe

Regulators push for operations changes

The derivatives industry is facing regulatory demands to improve operations-related issues. In recent weeks, both the President's Working Group on Financial Markets (PWG) and the Financial Stability Forum (FSF) have pushed dealers to enhance the…

FSF calls for rating agency changes to aid market

Banks, investors and rating agencies are bracing themselves for a barrage of new regulatory guidance, consultation papers and capital charges in the wake of a report by the Financial Stability Forum (FSF) on April 12, which made a series of…

Flight plan

British Airways' Group treasurer, George Stinnes, talks to Alexander Campbell

EC outlines changes to CRD

The European Commission (EC) has launched a public consultation on more than 50 technical changes to the Capital Requirements Directive (CRD).

BIS to modify Basel II rules

The Basel Committee on Banking Supervision is to make changes to the Basel II capital framework in response to the ongoing financial crisis. The modifications are expected to include the upping of Pillar I regulatory capital requirements, as well as the…

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