Derivatives
The turmoil test for emerging and advanced economies
Greater integration between advanced and emerging market economies during globalisation has made both more susceptible to risk of spillover – financial contagion and volatility. As the US continues to normalise its monetary policy, deputy governor of…
Internationalising renminbi – Hong Kong leads the way
Hong Kong’s advantages in technology, talent and infrastructure make it best placed to form the primary transaction and risk management network for the overseas offshore renminbi market, argues Zhou Chengjun, IFF Academic Committee member and deputy…
Yi pledges to continue opening up China’s financial sector
Some measures are yet to be finalised despite end-2018 goal
US agencies move to protect swaps after week of Brexit chaos
Legacy swaps can be transferred without facing onerous requirements, Fed says; week of parliamentary wrangling produces little progress on a final agreement
UK’s FCA unveils ‘near-final’ plan to cope with hard Brexit
EBA calls for further action on deposit insurance as the FCA aims to ensure regulations will still function
US and UK regulators strike deal to protect derivatives trading post-Brexit
Joint statement indicates continued co-operation, “whatever form” Brexit takes
NY Fed paper scrutinises post-crisis CDS market
Little research has been done on the market at a “granular level”, authors say
Central bank of the year: Monetary Authority of Singapore
Singapore’s central bank stands out for its pioneering fintech efforts combined with its consistency of performance in monetary policy, financial stability and supervision
Global markets award: HSBC
HSBC’s global reach and expertise in emerging Asian markets has helped its long-term central bank clients develop more sophisticated reserve management strategies and move into new markets
Innovation in reserve management: BNP Paribas Asset Management
The asset manager developed new fixed income investment strategies in 2018 that have delivered strong returns and diversification for clients, while also offering practical training support
Sarb says new interest rate benchmarks may be calculated with ‘actual’ transactions
Current benchmark rate based on flawed market data, South African central bank says
No-deal Brexit could hit UK harder than global financial crisis, BoE says
Latest analysis from the UK central bank says growth could plummet 8% in the event of a no deal
BIS committee finds inadequacies in derivatives data
Challenges remain, despite significant progress, Irving Fisher Committee reports
Basel Committee moots changes to leverage ratio
Regulation could be amended to mitigate central clearing impact; committee also critical of banks’ “window dressing” behaviour
Exchange chiefs back Giancarlo in tussle over CCP oversight
CFTC may block US CCPs from acceding to EU supervision
BoE calls on EU to act on Brexit stability risks
Failure to act could disrupt $90 trillion of derivatives contracts, central bank warns
Supervisory lessons: fault lines in prudential regulation
Former Bank of Spain head of supervision Aristóbulo de Juan highlights the lessons he has learnt about weaknesses in prudential regulation, in the second of a four-part series on supervision
Risk-adjusted model anticipates rate changes better – paper
Monetary policy forecasts perform better when adjusted to risk, authors say
Insights from network analytics in suptech
With regulators leveraging technological innovations to move towards informed, data‑driven decision‑making and automation, supervisory technology is attracting enhanced interest. Kimmo Soramäki and Phillip Straley examine how regulators are gaining…
Distributed ledger technology in regulatory reporting
Satisfying regulatory demands can be made cheaper and more straightforward via distributed ledger technology as regulatory reporting has a transformational effect on the regulatory value chain. Maciej Piechocki, Moritz Plenk and Noah Bellon of…
Time running out for EU Brexit temporary permissions regime
UK clearing houses may need to eject EU member positions if BoE scheme is not reciprocated by year-end
Standard-setters update analysis of CCP network
Basel-based organisations find network has only shifted somewhat in the past year
FSB weighs effects of post-crisis reforms on central clearing
Report finds incentives to centrally clear are strong in the “systemic core” but weaker elsewhere; some rules could benefit from adjustment
Book notes: American default, by Sebastian Edwards
Edwards’ book is fascinating, well written and enjoyable, and provides an account of one of the US’s forgotten chapters of history