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
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.
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
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
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
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
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.
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
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
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.
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.
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
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.
LONDON, June 2 (Reuters) – The Bank of England (BoE) will
scrutinise whether insurers are taking on too much risk by
investing in infrastructure projects which may not be suitable
for traditional portfolio management, it said on Tuesday.
Insurers have been coming under pressure from policymakers
to invest in economic growth through building new roads, bridges
and telecoms networks, projects that can offer higher yields
than government bonds.