Systemic importance
CPSS and Iosco set out central bank responsibilities for FMIs
CPSS and Iosco issue new standards for financial market infrastructures; include core responsibilities for central banks and other supervisory bodies
Commission paper sheds light on dangers of shadow banking
The potential for shadow banking to damage the wider banking system and disrupt the macro-prudential aims of the ECB has been highlighted in the latest green paper from the European Commission
Data: a core challenge for financial regulatory reform
Improving financial stability through the use of interconnected and predictive supervisory tools requires a rethink on data. By Constantin Gurdgiev and Keith Saxton
Robert Pringle’s Viewpoint: Central bank macro-prudential powers are no panacea
Central banks will take on substantial new macro-prudential supervisory powers in the years ahead. But this is a dangerous experiment, and a step in the wrong direction
Ingves targets domestic Sifis with tougher capital rules
Basel Committee chairman Stefan Ingves says all institutions whose disorderly distress or failure could trigger a systemic crisis should be subject to additional capital requirements
FSB discusses plans for the year
Financial Stability Board covers 2012 work plan in latest meeting; considers extending Sifi framework to domestic banks and globally significant insurance companies
Final rules to tackle systemically important institutions announced
G-20 agrees on policy measures to address risks posed by systemically important financial institutions; 29 institutions identified as of global systemic importance
Sifi rules will make financial system safer: BIS’s Cecchetti
Bank for International Settlements head of the monetary and economic department Stephen Cecchetti says new Sifi rules will provide positive externalities to entire financial system
Identifying Sifis: Central Bank of Colombia paper
Central Bank of Colombia releases a working paper outlining a method to establish the systemic importance of financial institutions; offers an alternative method to the BIS
BIS’s Cecchetti highlights merits of G-sibs surcharge
Bank for International Settlements economic adviser Stephen Cecchetti says reducing probability of G-sibs failing is cornerstone of regulatory response to too-big-to-fail
G-sibs surcharge will have positive macroeconomic impact, says joint Basel, FSB working group
Macroeconomic Assessment Group says growth benefits from capital surcharge on global systemically important banks outweigh costs from higher bank funding costs
Bank of Canada paper measures systemic importance of banks
Bank of Canada study builds framework to identify systemically important financial institutions
Forbearance incentive is greater among Sifis: IMF paper
Fund study says regulators have strong incentive to forebear systemically important financial institutions
Fed aims for summer Sifi regulations
Bernanke says Fed expects to issue proposed rules on Sifi oversight this summer; also 'on schedule' to implement Basel III
Basel targets 28 banks with GSIB surcharge
Basel Committee says 28 banks will be required to hold additional loss-absorbency capital under proposed methodology for identifying global systemically important banks
BIS’s Caruana urges completion of regulatory reform agenda
Bank for International Settlements general manager Jaime Caruana highlights a number of challenges facing national authorities in implementing critical reforms
Going-concern triggers on CoCos unrealistic, says White
Contingent capital instruments designed to provide a capital boost before the point of non-viability are laudable but unrealistic, says former RMMG chair Mark White
Basel Committee will not impose CoCo requirement for Sifis
Basel Committee proposes a staggered common equity capital surcharge for systemically important banks, but steers clear of contingent capital
Fed’s Hoenig says Sifis are at odds with values of capitalism
Kansas City Federal Reserve president Thomas Hoenig says systemically important financial institutions inconsistent with capitalism
Ex-IMF adviser calls for 'hard rules' on cross-border resolutions
Former IMF adviser Rosa Lastra says international regulatory framework should apply 'hard' rules on cross-border resolutions; says FSA was scapegoat in crisis
BIS’s Hannoun spots conundrum in 'no bailout' line
Bank for International Settlements deputy general manager Hervé Hannoun says aversion to taxpayer-funded bailouts not fully priced in sovereign spreads
Basel Committee’s Walter: consensus reached on method to identify Sifis
Basel Committee has now agreed on criteria for banks posing systemic threat; FSB agrees on accelerated timetable for G-20 recommendations
Bernanke pledges tough oversight of CCPs
Federal Reserve chairman Ben Bernanke says reforms to financial market infrastructure will help strengthen supervision of central counterparties
IMF paper on growing threat of moral hazard
Fund study calls for further incentives and rules to stem threat posed by large systemically important financial institutions