Financial stability
Risk Japan 2011: MUFG risk chief hits out at supervisors on RRPs
Masao Hasegawa, CRO at Mitsubishi UFJ Financial Group, says he was taken aback by a regulatory requirement to develop a resolution and recovery plan before year-end
Yellen defends IMF proposals on capital controls
Federal Reserve vice-chair takes Fund line on framework to tackle capital inflows; follows criticism of framework from Indian, Brazilian officials
Brazil slams IMF proposal on capital controls
Brazil’s finance minister Guido Mantega rejects IMF proposals for establishment of framework on capital controls; attacks Fund’s laissez-faire policy on capital movements
BIS reviews macroprudential literature
Literature review published by the Bank for International Settlements finds gaps in assessing the effectiveness of macroprudential tools, studying interaction with monetary policy
Stability objective should drive financial policy, says BoE’s Bailey
Bank's Bailey says stability goal must not be swayed by “murky compromises with other objectives”
Imbalances could treble in next two decades: Bank's Haldane
Bank of England executive director Andy Haldane charts course of global imbalances, pointing to trends likely to widen them
Politics won't get in the way of Sifi plans: FSB's Draghi
Financial Stability Board chairman Mario Draghi says resolution regimes for systemically important banks operating across borders need not be bogged down in political tensions
Recovery has lost steam and risks remain high, IMF warns
IMF's latest financial stability report strikes a cautionary note about the stalled economic recovery
Prop trading restrictions already hurting liquidity, say investors
Restrictions on bank proprietary trading have caused liquidity to fall in both the cash and derivatives markets, forcing buy-side participants to adopt alternative investment strategies
Dodd-Frank sends banks on journey into the great unknown
The passing of the Dodd-Frank Act into US law signifies profound changes for banks and regulators. But how they should prepare now for the new legislation is still far from certain
FDIC creates new units as US regulators expand for Dodd-Frank systemic oversight
US regulators are hiring more staff in preparation for Dodd-Frank changes
Riksbank's Persson: Making the European financial system safer
Regulators and politicians know what needs to be done to put the eurozone on an even keel and fix the holes exposed by the subprime crisis, says Mattias Persson, head of financial stability at the Sveriges Riksbank, Sweden’s central bank. The result will…
Cebs to disclose stress-test results, says EU Council
The European Council has mandated Cebs to issue the results of this year's stress-testing exercise of the EU cross-border banking sector
Goodhart: CoCos 'not silver bullets' for bank capital reform
Regulators should ban dividend payments or curb banker pay to conserve cash, instead of championing Cocos, says economist
Risk Europe: EU supervision package could be delayed
Creation of new European supervisory authorities is hampered by disagreements between EU parliament and council
Risk Europe: Don't be blindsided by politicians, risk managers warned
Sovereign interventions are sacrificing market efficiency in order to deliver price stability, according to the former US Treasury attaché to the European Union
Riksbank's Persson: don't shoot CDS "messenger"
The Swedish central bank uses CDS spreads as an indicator of financial stability
US regulators call for circuit-breakers but exchange risks remain, says expert
Proposed rule changes from Securities and Exchange Commission (SEC) and Financial Industry Regulatory Authority (Finra) are a good but incomplete solution to operational risk within exchange infrastructures
Systemic risk regulators should direct policy not just give warnings, says HSBC's Haswell
Past experience suggests the new financial stability bodies should direct regulatory policies, not just warn about instability
FSA’s Huertas says ending ‘too big to fail’ is the top regulatory issue
Regulators mull over intervention options for systemic risk firms
A granular approach to data
The drive for regulatory reform in the US has focused on the availabilty of data, and a bill being discussed in Washington, DC proposes the establishment of national data and research centres.
Breaking up banks could increase instability, research finds
Banking systems with small numbers of large banks are more stable and less likely to undergo crises, according to World Bank and NBER economists.
Less risk, less profit
Regulators are gearing up for a crucial meeting of the Basel Committee this month, which will finalise proposals on capital buffers, quality of capital and a leverage ratio. Sylvie Matherat, head of financial stability at the Banque de France, talks to…