ESMA launches formal investigation into tax withholding schemes

At the request of the European parliament, pan-EU regulators have looked into withholding tax reclaim schemes, often involving company dividends, and found that activity around these reclaims might be affecting the integrity of European securities markets and individual firms.

FSB says compensation procedures that reduce risk remain untested

Most banks have established compensation practices and procedures to reduce inappropriate risk-taking, but their effectiveness is still being tested, the Financial Stability Board (FSB) said in a report

Basel Committee asks for disclosures around leverage ratio window dressing

To address concerns over quarterly bank window dressing activities to flatter their leverage ratio numbers, the Basel Committee on Banking Supervision is asking banks for greater disclosure around their securities financing transactions (SFT).

Basel Committee revises SA-CCR leverage ratio treatment on client derivatives margins

Revisions have been made to the leverage ratio treatment of client cleared derivatives by the Basel Committee on Banking Supervision in the standardised approach to measuring counterparty credit risk exposures (SA-CCR).

BIS calls for regulatory co-operation to manage big tech’s push into finance

Harvesting the benefits while containing the risks associated with big tech’s entry into financial services needs a comprehensive approach drawing on financial regulation, competition policy and data privacy rules, the Bank for International Settlements (BIS) said in its annual report.

FSB reports concerns to G20 over debt levels and implementation of reforms

In a letter dated June 25 to G20 leaders, the Financial Stability Board (FSB) said it remains vigilant over the emergence of new risks, wants to harness the benefits of innovation, complete agreed global reforms, promote an integrated financial system and strengthen the body’s accountability. 

Christine Lagarde nominated as ECB president

Former French finance minister and head of the IMF has been nominated by the European Council to replace Mario Draghi as president of the European Central Bank.

Stock exchange equivalence ceases between EU and Switzerland

On July 1, equivalence measures between the EU and Switzerland allowing investment firms from the two jurisdictions to freely trade shares on each others’ exchanges ceased.

SEC and CFTC collaborate credit swap portfolio margins

The US’s two main markets regulators are to work more closely together on how to better understand and manage portfolio margins in the credit derivatives market.  

Congress slams EU attitude over derivatives supervision

Congressmen in the House of Representatives agriculture committee hit out EU plans to toughen derivatives supervision labelling it as retribution during a hearing held on June 26.