IOSCO supports setting up board to promote sustainability in capital markets

Establishing a Sustainability Standards Board (SSB) has won the support of the International Organization of Securities Commissions (IOSCO) to help promote consistency and comparability across capital markets and to reduce the risk of fragmentation around sustainability disclosures.

Seismic changes

Financial firms will have to adapt to seismic changes this year

The year 2020 generated seismic shifts in the structure of markets, ways of working, the landscape of risks and paths of recovery. Harnessing these requires firms to prioritise a purposeful recovery, resilience and restructuring in the year ahead. By Adam Markson, head of UK and Ireland risk practice at Accenture.

Rick Watson

FSB warns of climate change threat to financial stability

Policy-makers and their advisers have at last recognised the implications of climate change on financial stability, marking a sea change in political sentiment on this issue. By Victor Smart

Nellie Liang

Shadow banks face tougher rules following Covid-induced volatility

Global regulators have long kept an eye on the shadow banking sector from afar and warned that it may be a source of systemic risk, but the pandemic-driven market turmoil in March was a tipping point. The Financial Stability Board is now calling for firm action to “strengthen the resilience of non-bank financial intermediation”. 

ISDA calls for better calibration on clearing house margins

Although the International Swaps and Derivatives Association has praised clearing houses for withstanding the extreme pandemic-induced market volatility, it is concerned about the significant increase in initial margin seen last year

Colleen Baker web

FSB treads fine line on CCP resolution issue in final guidance

Clearing house members have cautiously welcomed the latest FSB guidance on CCP resolution, which contained few surprises, but argue it should go even further. 

Large banks were narrowing capital shortfalls pre-Covid says Basel Committee

As of December 2019, which was before the Covid-19 pandemic struck, the Basel Committee on Banking Supervision found that capital shortfalls were €10.7bn for group 1 banks compared with €16.6bn at end-June 2019. 

UK strikes deal with Singapore and aims for ambitious digital agreement

The UK government has struck an EU-style trade deal with Singapore, in a bid to “help position the UK as an international hub for services and digital trade”.

Nausicaa Delfas web

UK-US look to regulatory co-operation to boost cross-border financial services

A free trade agreement between the UK and the US looks unlikely any time soon. However, this will not stop the two forging greater regulatory co-operation to boost financial services activity, potentially creating a template for other international agreements. 

Henry Umney web

GRC 2021 predictions: digitising in a hybrid world

Governance, risk and compliance (GRC) teams started 2020 with a clear picture of what they were going to focus on this year, but the onset of Covid-19 pandemic threw up new GRC challenges, such as around bank staff having to work from home. By Henry Umney, SVP Commercial at Mitratech.