from Financial Regulatory Forum:

Bankers say “derisking” underway amid sanctions crackdown; that’s the point, U.S. regulator says

October 3, 2014

A process of "derisking" is underway by financial firms exiting sectors that represent compliance landmines, bankers said on Tuesday, but a top U.S. sanctions enforcer said that is sometimes just the right move.

from Financial Regulatory Forum:

U.S. regulators ease credit risk rules on guarantees for banks using advanced approach

By Guest Contributor
August 15, 2014

By Bora Yagiz, Compliance Complete

NEW YORK, Aug. 15, 2014 (Thomson Reuters Accelus) - Three major U.S. regulatory agencies have eased requirements under the advanced approach risk-based capital rules by removing a key requirement concerning guarantees provided by counterparties eligible for recognition as credit risk mitigants.

from Financial Regulatory Forum:

Canadian banking outlook downgraded over ‘bail-in’ move, adding to recent financial stability concerns

By Guest Contributor
July 17, 2014

By Daniel Seleanu, Compliance Complete

TORONTO, July 17, 2014 (Thomson Reuters Accelus) -  In yet another worrying sign for Canada's financial sector, Moody's Investors Service has lowered its outlook for the Canadian banking system from "stable" to "negative" over uncertainty about government willingness to bail out banks during a crisis. It follows a pair of recent warnings issued by the Bank of Canada (BOC) and the Bank for International Settlements (BIS), both of which highlighted the growing risk of stress posed by runaway consumer debt and property prices.

from Breakingviews:

China wrestles with repression of financial sort

June 4, 2014

By John Foley 

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

from Financial Regulatory Forum:

Forget HFT; “High Intelligence Trading” is the new frontier for technology, markets, regulation

By Guest Contributor
April 10, 2014

By Henry Engler, Compliance Complete

NEW YORK, Apr. 10, 2014 (Thomson Reuters Accelus) - While fast is good, smart is better, and with untold resources of computing power and memory banks in the clouds, the new frontier in electronic trading combines sophisticated intelligent software with rapid-fire processing, enabling traders to stay one step ahead of the regulators.

from Financial Regulatory Forum:

Special report: UK regulators face mounting concerns over their handling of multi-million pound fund collapse

By Guest Contributor
April 4, 2014

By Alex Davidson, Compliance Complete

LONDON, Apr. 4, 2014 (Thomson Reuters Accelus) - Regulators face searching questions about whether they acted effectively in the multi-million pound collapse in 2012 of an unregulated collective investment scheme (UCIS). The then Financial Services Authority's (FSA) decisions concerning the Connaught Income Fund, Series 1, a UK-domiciled fund based in London, will come under fresh scrutiny at a debate in Westminster Hall, between members of parliament and HM Treasury this month, subject to scheduling. The Financial Conduct Authority (FCA) has said that the FSA, its predecessor body, acquitted itself well in dealing with the situation. Detractors, including investors, MPs and independent financial advisers (IFAs), have said the regulator failed to act appropriately on warnings about the misappropriation of multiple millions of pounds from the fund.
Some have found fault with the regulator, fund operators and IFAs who sold the Connaught fund, but it remains to be seen who, if anyone, will be held broadly accountable. Critics of the regulator have said it failed to investigate effectively evidence of financial misappropriation and insolvency, at Tiuta Plc (Tiuta), a regulated mortgage lender, to which the fund was lending money. The evidence was provided by whistleblower George Patellis, chief executive of Tiuta, which, like its unregulated subsidiary,Tiuta International (TIL), was a specialist partner to the Connaught fund.

from Breakingviews:

Deadly assault brings new kind of risk to China

March 3, 2014

By John Foley

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

from Financial Regulatory Forum:

“Big data” tools will improve regulatory oversight, FINRA’s di Florio says

By Guest Contributor
February 25, 2014

By Stuart Gittleman, Compliance Complete

NEW YORK, Feb. 25 (Thomson Reuters Accelus) - The Financial Industry Regulatory Authority is developing a suite of "big data" information sources and analytics to improve regulatory oversight of securities firms, according to Carlo di Florio, FINRA's chief risk officer and head of strategy.

from Financial Regulatory Forum:

Big banks fall short on data requirements, but regulators may share in the blame

By Guest Contributor
February 11, 2014

By Bora Yagiz, Compliance Complete

NEW YORK, FEB. 11 (Thomson Reuters Accelus) - An international study for a bank regulators' group has found deficiencies in the way banks measured and reported counterparty exposures. But the regulators themselves may share responsibility for the shortcomings, as they have provided little specific guidance for the banks.

from Financial Regulatory Forum:

Small banks await regulatory fix on Trust Preferred Securities portion of the Volcker rule for capital decisions

By Guest Contributor
January 24, 2014

By Bora Yagiz, Compliance Complete

NEW YORK, Jan. 24 (Thomson Reuters Accelus) - Banks that have relied over the years on a special type of assets to fulfill their capital requirements may soon have to restructure their investment portfolios to bring it in line with the Volcker rule limiting risky trading by banks. At stake is the treatment of the Trust Preferred Securities (TRuPS), whose inclusion as “investments in entities referred to as covered funds” such as collateralized loan obligations and collateralized debt obligations, would oblige banks to divest them in compliance with the Volcker rule.