The current culture of the financial system and that of banks in particular is a source of concern, said Paul Volcker, a former chairman of the US Federal Reserve Board.
Americas
All-time-high leveraged loan market ‘poses risks to banks’
US corporate leverage is now higher than that seen before the 2007-9 global financial crisis potentially creating risks for banks, warned Moody’s Investors Service.
CFTC accepts defeat over trader manipulation case
The US Commodity Futures Trading Commission (CFTC) has accepted the dismissal of a five-year case it brought against DRW Investments for market manipulation and will not appeal it.
Fed may include bitcoin collapse in stress tests
The US Federal Reserve Board is considering a range of extraordinary risks to the banking system, such as a bitcoin collapse, massive trader misconduct or a war with North Korea.
Fed’s stress test reforms proving to be controversial
To critics, reforms of the US stress testing regime are a worrying diluting of the exercise, whilst bankers see them as a very necessary exercise in simplification and transparency. However, stress tests maybe less important than they once were. By Farah Khalique.
Asset managers pushing for SEC to accept MiFID II
Three asset management firms in the US are pushing the US Securities and Exchange Commission (SEC) to allow them to implement the EU’s markets in financial instruments directive (MiFID) II in the US over the handling of investment research.
Finra chosen as CAT plan processor
The Financial Industry Regulatory Authority (Finra) has been chosen by US stock exchange operators as the plan processor for the consolidated audit trail (CAT), a giant database allowing regulators to detect suspicious market activity.
US agencies extend comment periods for SA-CCR and stress testing
US regulatory agencies have extended the comment period on the standardised approach for calculating the exposure amount of derivative contracts (SA-CCR) and on proposed changes to company-run stress testing requirements.
CFTC aims to rival Google in sophisticated data analysis
The US Commodity Futures Trading Commission (CFTC) would like to rival tech giants Google and Facebook in the arena of sophisticated data analysis.
US agencies should tailor stress tests more around risk profiles - BPI
US agencies urged to incorporate a more risk-based approach as part of their review of the US stress testing regime
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