Regulation Correspondent, Europe
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Jun 9, 2015

Western stock exchanges look to China for market growth

LONDON, June 9 (Reuters) – China offers better growth
prospects for stock and derivatives exchanges as making money in
mature western markets becomes tougher due to overcapacity, top
bourse officials said on Tuesday.

“Clients are really trying to get access to Asia and China
right now,” Jeff Sprecher, chairman and CEO of the
Intercontinental Exchange, told the IDX derivatives
conference in London.

Jun 9, 2015

Regulators focus on leverage ratio fallout in derivatives market

By Huw Jones

(Reuters) – Financial market regulators are looking at
whether new rules to ensure banks and brokers are strongly
capitalised in the wake of the financial crisis will hamper
efforts to make financial derivatives safer.

After introducing measures to make the financial system
stabler after the 2007-09 crisis, regulators are now having to
fine tune reforms to remove any conflicts and to avoid hampering
economic growth.

Jun 9, 2015

CFTC’s Massad expects deal on EU-U.S. derivatives rules

LONDON (Reuters) – The United States and European Union have made good progress on ironing out differences between their respective derivatives rules that threaten to fragment global markets, a top U.S. regulator said on Tuesday.

Timothy Massad, chairman of the U.S. Commodity Futures Trading Commission (CFTC), said both sides have resolved some key issues and hoped to reach an agreement this summer.

Jun 8, 2015

EU to propose lighter capital rules for banks to revive securitised debt

LONDON/BRUSSELS, June 8 (Reuters) – The European Commission
will propose lighter capital requirements on simple pooled debt
instruments, in a bid to free banks to use these so-called
securitisation products to help raise more funds to finance
economic growth.

Regulators imposed tough capital requirements on banks
creating securitised debt after often-complex products based on
U.S. home loans became untradable in 2007, triggering the global
financial crisis, and the sector in Europe has yet to regain
pre-crisis levels.

Jun 8, 2015

Basel watchdog proposes bank capital rule to cover interest rate risks

June 8 (Reuters) – Global banking regulators have proposed
two options for forcing banks to hold far more capital to cover
risks from rises in interest rates.

The Basel Committee, a body of banking supervisors from
nearly 30 countries, published on Monday a document for public
consultation that sets out two alternatives: a mandatory minimum
capital surcharge on banks, and a discretionary surcharge set by
supervisors.

Jun 7, 2015

Britain to unveil plans to clean up markets hit by rigging scandals

LONDON, June 7 (Reuters) – Britain’s regulators will unveil
plans on Wednesday that aim to clean up behaviour in the
financial markets, where banks have been fined billions of
pounds for trying to rig currencies and interest rate
benchmarks.

The Bank of England, Treasury and the Financial Conduct
Authority will publish recommendations from their Fair and
Effective Markets Review into conduct and operation of currency,
bond and commodity markets.

Jun 5, 2015

British markets watchdog names Mark Steward as new top enforcer

LONDON/HONG KONG, June 5 (Reuters) – Britain’s markets
watchdog has appointed the Hong Kong Securities and Futures
Commission’s Mark Steward as its top enforcer, it said on
Friday.

Steward has clocked up several high profile victories as
head of enforcement at the Hong Kong watchdog, including the
first criminal prosecution for insider trading in 2009, and the
first forced liquidation of a listed company for fraud in
February.

Jun 4, 2015

EU gives banks, pension funds more breathing space over derivatives

LONDON/AMSTERDAM, June 4 (Reuters) – The European Commission
will give banks in the EU another six-month exemption until
December from having to hold extra capital to cover transactions
at clearing houses that don’t meet the bloc’s standards.

“The decision will give the market the legal certainty it
needs for the next six months,” EU financial services
commissioner, Jonathan Hill, said in a statement on Thursday.

Jun 3, 2015

FCA proposes new rules to avoid excessive fees for benchmarks

LONDON (Reuters) – Britain’s financial watchdog has proposed rules to ensure that widely-followed market benchmarks like Libor interest rates, gold or oil are available to all at a fair price.

After banks were fined for trying to rig the Libor interest rate benchmark and currency markets, Britain has required eight major market benchmarks to be run by an independent administrator to reduce the chances of manipulation.

Jun 3, 2015

UK watchdog proposes new rules to avoid excessive fees for benchmarks

LONDON, June 3 (Reuters) – Britain’s financial watchdog has
proposed rules to ensure that widely-followed market benchmarks
like Libor interest rates, gold or oil are available to all at a
fair price.

After banks were fined for trying to rig the Libor interest
rate benchmark and currency markets, Britain has required eight
major market benchmarks to be run by an independent
administrator to reduce the chances of manipulation.

    • 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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