LONDON (Reuters) – JP Morgan (JPM.N: Quote, Profile, Research, Stock Buzz) and HSBC (HSBA.L: Quote, Profile, Research, Stock Buzz) topped the list of the world’s top 29 banks that must hold extra capital from 2016 because of their size and reach, the Financial Stability Board (FSB) said on Monday.
The FSB is the regulatory taskforce for the 20 biggest economies, whose leaders agreed in 2011 on extra capital requirements to keep top lenders stable in rocky markets.
LONDON (Reuters) – Thousands of staff across dozens of London financial firms will be put through a “war games” scenario on Tuesday to test how well they can handle a major cyber attack, people familiar with the matter said.
In one of the largest exercises of its kind in the world, the test dubbed “Waking Shark II” will bombard firms with a series of announcements and scenarios, such as how a major attack on computer systems might hit stock exchanges and unfold on social media.
LONDON, Nov 7 (Reuters) – Users of financial derivatives in
the European Union will have to report their trades from early
next year after the bloc’s executive vetoed a request from
regulators for a delay.
A delay would hinder the ability of regulators to spot
potentially destabilising risks building up in markets, the EU’s
executive European Commission said.
LONDON, Nov 6 (Reuters) – Britain’s listed companies may
have to publish details of risks that could put them out of
business and auditors will have to verify all the risks have
been properly disclosed, in reforms proposed by the accounting
The Financial Reporting Council (FRC) wants a cultural
change to end box-ticking exercises of the past. Its proposed
reforms follow the 2007-09 financial crisis which saw banks
being rescued by taxpayers despite accountants giving them a
clean bill of health just months before.
LONDON, Nov 5 (Reuters) – Central bankers and regulators
have increased the pressure on the $630 trillion derivatives
industry to alter how it operates to avoid a repeat of the
mayhem seen after Lehman Brothers collapsed.
Markets went into meltdown in Sept. 2008 as it was unclear
who was exposed to the stricken U.S. lender’s derivatives
LONDON (Reuters) – A new global watchdog with binding powers is needed to resolve disputes like the current clash over derivatives rules that threatens to undermine financial stability, top market officials said.
The European Union and United States are trying to iron out differences between each other’s rules to regulate the $630 trillion market for off-exchange traded derivatives like credit default swaps and interest rate swaps.
LONDON, Nov 4 (Reuters) – European Union lawmakers have
pledged rapid approval of a draft EU law to regulate market
benchmarks such as Libor, though they sparred over how
comprehensive the new regime should be.
Big fines for Barclays and other banks over the
past 18 months for rigging interest rate benchmarks such as the
London Interbank Offered Rate or Libor, prompted the European
Union to propose the rules to supervise such indexes for the
LONDON, Oct 31 (Reuters) – European Union rules being
finalised to regulate derivatives and bond trading are too
light-touch and will leave markets in the dark, EU financial
services chief Michel Barnier has said.
Barnier has told Markus Ferber, a German member of the
European Parliament who is leading negotiations on the new
rules, he was concerned about how they are evolving.
LONDON (Reuters) – Banks using in-house mathematical models to value their trading book risks should also use a standardized approach as a backstop, global banking industry regulators said on Thursday.
The Basel Committee of banking supervisors from nearly 30 countries have published a second, more detailed 127-page consultation on reforming how risks on trading books are calculated after finding wide discrepancies among banks.
LONDON, Oct 30 (Reuters) – Standard setters have reached
broad agreement on the first global rule telling companies how
to book revenues in a reform that may encourage listings and
bump up IT costs for telcos.
Revenue is the most important line in a company’s earnings
statement and policymakers want to make it easier for investors
to compare firms and help bring down the cost of capital by
making markets more efficient and transparent.