Basel III
WHAT IS THIS? Basel III is a set of bank soundness rules drawn up by the Basel Committee on Banking Supervision in response to the financial crisis. It hikes the minimum amount of capital banks must hold, introduces new leverage and liquidity ratios, and limits the use of internal models.
Dealers predict CVA-CDS loop will create sovereign volatility
A recipe for disaster?
From micro to macro: Basel III tools eyed as systemic risk controls
Keeping the lid on
Credit Suisse and UBS on Basel 2.5: Half a world away
Half a world away
Illiquidity holding back CCDS, despite Basel III endorsement
Basel III allows contingent credit default swaps (CCDSs) to be used as a mitigant when calculating credit value adjustment. Advocates of CCDSs hope that will give the market some momentum – but others say the product will continue to suffer from a…
Q&A: Stefan Walter on Basel III, RWAs, 'anti-American' rules and CVA
“It’s good to have hard deadlines”
CVA desks to keep buying sovereign CDSs – even if they never pay out
Even if CDS contracts are not triggered in Greek restructuring, Basel III's CVA charge ensures the market will live on - but episode raises fresh questions about design of capital framework, dealers say
Risk USA: Regulators need to be wary of capital overshoot, says Roldán
Adding to Basel III capital levels might have unintended consequences, says former chair of Basel Committee’s standards implementation group
Asia Risk Congress 2011: CCP users need tactical collateral planning due to Basel III capital squeeze
The increasing need for liquid, high grade assets under Basel III capital requirements will likely squeeze liquidity in the types of eligible collateral required by central counterparty (CCP) clearings, meaning end-users of CCPs need to tactically plan…
Asia Risk Congress 2011: ‘Strong baseline supervision’ a domestic priority, says CBRC head
Chinese banking watchdog director-general Luo Ping says China should continue with its conservative regulatory approach, which insulated it against the worst effects of the global financial crisis
BofE's Tucker: weak CCP recovery plans risk mayhem
Panellists at an EC conference in Brussels this morning warned CCPs have made little progress on detailed survival plans - leaving the system exposed
Foreign regulators leave US isolated on uncleared margin rules
Follow the leader?
Video: Banks can arbitrage central bank liquidity provision
A conflict between new liquidity regulations under Basel III and existing central bank operations leaves a gap that banks may be able to exploit, warns financial stability expert
Australian banks still face liquidity challenges, FSB peer review finds
A Financial Stability Board peer review finds the Australian financial system remains strong but banks face Basel III liquidity and wholesale funding challenges
Regulators failing to take the lead on operational risk, says new survey
Few regulators are taking operational risk seriously, says Mike Finlay, chief executive of RiskBusiness
IMF modelling work on liquidity risk points to capital hike, says Jobst
Recent analysis by the International Monetary Fund indicates that banks in the US need to raise capital to cover systemic liquidity risk threats
Delayed Basel trading book review will be broad, say supervisors
Basel Committee is expected to consider wide range of topics, including VAR, liquidity, CVA and the line between banking and trading books - but overall capital requirements are not likely to change
Basel 2.5: regulators still wrestling with Dodd-Frank clash
Barriers to Basel
Corporates fear CVA charge will make hedging too expensive
Crunch time for corporates
Profile: Standard Bank CRO on rogue trading, liquidity and lending
“We do not have a liquidity issue”
Dangerous adaptation: the evolution of risk
Dangerous adaptation: the evolution of risk
Video: Industry experts clash over whether to publish liquidity ratios
A Basel III conference panel disagree over whether banks should publish liquidity coverage ratio and net stable funding ratio estimates now, even though the final rules are not yet agreed
Bank of England's FPC seeks to unlock Basel III tool-kit
Systemic risk committee at the Bank of England calls for power to use tools - such as liquidity and leverage ratios, and margin standards - to influence systemic risk
Carney to banks: stop blaming each other
Mark Carney, Bank of Canada governor, tells banks to stop accusing others of bad behaviour
Basel trading book review delayed
Fundamental review of Basel trading book rules may not begin in earnest until March 2012