Resolution and RecoveryRSS

US regulators seek to spruce up resolution rules as banks grow in size

Feedback is being sought by US prudential regulators over proposals to enhance their ability to resolve big banks following a considerable increase in their size, which could include the use of a long-term debt requirement.

Stabilised Swiss unit of Sberbank allowed to repay non-sanctioned creditors

The Swiss subsidiary of Sberbank was allowed to settle claims with non-sanctioned creditors by the Swiss Financial Market Supervisory Authority (FINMA), which said the Russian-owned bank had improved its financial stability.

Agencies delay feedback on G-SIB resolution plans

Global systemically important banks (G-SIBs) are going to have to wait longer to receive feedback on their 2021 resolution plans as the agencies need more time to analyse them. 

Resolution plans of UK’s largest banks require more work

HSBC, Lloyds Banking Group and Standard Chartered have failed to completely convince UK regulators that they could fail in an orderly fashion without disrupting their customers.

US, UK and EU authorities discussed resolving G-SIBs

On April 23, the heads of resolution, regulatory and supervisory authorities, central banks, and finance ministries of the US, UK, and EU met for a regular coordination exercise on cross-border resolution planning, the Federal Deposit Insurance Corporation (FDIC) said in a statement. 

Sberbank Austria

Russian-owned bank failures overshadow EU resolution review

The winding down of the European operations of Russian banks could end up costing EU banks and may also influence the current review of the bloc’s bank resolution framework.

Resolution planning by Swiss banks improves, but gaps remain

Resolution and recovery planning by Swiss banks has shown improvement, said the Swiss Financial Market Supervisory Authority (FINMA) while also approving for the first time the plans of the central counterparty clearing house (CCP) and central depository arms of the SIX exchange. 

Matthias Graulich

Industry concerned about CPMI-IOSCO CCP models and protocols

Global standard setters CPMI and IOSCO want clearing houses to beef up client clearing services and porting practices, but market experts warn of impossible hurdles. 

CPMI and IOSCO consult on CCP access and porting practices

Global standard setters are consulting on ways for client positions at a defaulting central counterparty clearing houses (CCPs) to be ‘ported’ to a viable clearer to avoid quickly liquidating positions, which could disrupt markets. 

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Bad insolvency regimes keep Europe’s zombie firms alive

Propping up zombie firms beyond the point of viability is often blamed on the banks that continue to support them. However, inefficient resolution regimes might be the real cause.