Regulation Correspondent, Europe
Huw's Feed
Nov 22, 2013

UK watchdog scrutinising Co-op Bank’s financial reports

LONDON, Nov 22 (Reuters) – Britain’s accounting watchdog is
scrutinising financial reports from Co-operative Bank
but has yet to open a formal investigation, it said on Friday.

The move comes after allegations relating to the bank’s
former chairman Paul Flowers which have increased the pressure
on a bank which promotes itself as an ethical alternative to the
biggest lenders.

Nov 21, 2013

EU reaches outline deal to cap “dark pool” share trading

LONDON, Nov 21 (Reuters) – The European Union reached an
outline deal on Thursday to try to shine a light on shadowy
areas of the financial markets by capping off-exchange share
trading, known as “dark pools”, a senior EU lawmaker said on
Thursday.

The outline agreement is likely to hit the City of London
financial centre, which is home to several “dark pools” or
anonymous trading platforms. But stock exchanges and big banks
will likely benefit.

Nov 19, 2013

FCA to begin major review of wholesale financial markets

LONDON (Reuters) – Britain’s financial regulator will start a root and branch review early next year of whether wholesale markets used by banks, fund managers and exchanges are competitive.

“This will be a wide-ranging piece of work and, as part of it, we will be inviting market participants to tell us where they currently encounter issues,” David Lawton, director of markets at the Financial Conduct Authority, said on Tuesday.

Nov 19, 2013

UK watchdog to begin major review of wholesale financial markets

LONDON, Nov 19 (Reuters) – Britain’s financial regulator
will start a root and branch review early next year of whether
wholesale markets used by banks, fund managers and exchanges are
competitive.

“This will be a wide-ranging piece of work and, as part of
it, we will be inviting market participants to tell us where
they currently encounter issues,” David Lawton, director of
markets at the Financial Conduct Authority, said on Tuesday.

Nov 19, 2013

New Libor administrator signals caution over compilation changes

LONDON (Reuters) – Replacing the quote-based Libor with an index drawing on actual market trades won’t happen anytime soon, the benchmark’s new administrator said on Tuesday.

The London Interbank Offered Rate is compiled from quotes by banks of the rate they believe they would pay to borrow from another bank.

Nov 19, 2013

FCA to consider forex rules after probes completed

LONDON (Reuters) – The first set of rules for the unregulated multi-trillion dollar foreign currency market will be considered after the completion of probes into possible manipulation, a British regulator said on Tuesday.

The Financial Conduct Authority (FCA), along with watchdogs from the United States and Asia, is investigating if traders tried to rig foreign exchange benchmarks, such as the so-called London fixing at 4 p.m. each day, which is the nearest thing to a closing price in the 24-hour, self-regulated market.

Nov 19, 2013

UK watchdog to consider forex rules after probes completed

LONDON, Nov 19 (Reuters) – The first set of rules for the
unregulated multi-trillion dollar foreign currency market will
be considered after the completion of probes into possible
manipulation, a British regulator said on Tuesday.

The Financial Conduct Authority (FCA), along with watchdogs
from the United States and Asia, is investigating if traders
tried to rig foreign exchange benchmarks, such as the so-called
London fixing at 4 p.m. each day, which is the nearest thing to
a closing price in the 24-hour, self-regulated market.

Nov 18, 2013

Banks’ book-keeping leaves investors in the dark: watchdog

LONDON (Reuters) – Big variations in how major European Union banks do their accounts can leave investors guessing over their financial health and could also undermine financial stability, a top regulator said on Monday.

Banks’ accounting practices have come under regulatory scrutiny following the financial crisis when a number of banks, whose accounts showed they were healthy, had to be rescued by taxpayers.

Nov 15, 2013

EU set for battle over rules for securities markets

LONDON, Nov 15 (Reuters) – A battle over the rules governing
Europe’s stock, bond, commodities and derivatives markets
rachets up next week when the EU’s financial services chief
pushes for stricter controls which some member states say risk
driving business away.

European Union commissioner Michel Barnier fired a first
shot last month when he warned the European Parliament and
member states not to dilute his sweeping reform of the bloc’s
securities trading rules known as Markets in Financial
Instruments Directive or MiFID.

Nov 14, 2013

China helps fuel growth in global shadow banking

LONDON (Reuters) – The world’s “shadow banking” sector grew by $5 trillion last year to $71 trillion, helped by a 42 percent expansion in China, according to the latest annual figures from the Financial Stability Board.

Shadow banking covers more lightly-regulated areas of finance that includes bank-like activities such as borrowing and lending that take place outside banks. These include the repurchase agreement market, securities lending, real estate, hedge funds, money market funds, and securitization.

    • About Huw

      "Huw is based in London and covers European regulatory issues and global rulemaking bodies such as the G20, Financial Stability Board, IOSCO, IASB and the Basel Committee. He has covered EU regulation in Brussels, the emergence pan-European stock markets, and has also been a Wall Street reporter in New York."
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