The process of risk-weighting assets will become even more crucial to calculating bank capital adequacy under Basel III than it is already. Which is why there is growing dissent about the unexplained discrepancies between how different banks are measuring the same risks.
Examining the banking regulations that make you mad
Is a piece of banking regulation making you incandescent with Reg Rage? Email your suggestions for the next Reg Rage to justin.pugsley@ft.com
Fatca details get muted response
March 1, 2012The US's Foreign Account Tax Compliance Act, or Fatca, was widely criticised when it was enacted by Congress in 2010. Newly proposed regulations have brought with them some concessions, as well as an intent among some European countries to share this approach, meaning that the act is here to stay.
Using a sledgehammer to crack a nut
February 1, 2012In response to a request from the European Commission, a recent consultation paper from the European pensions body looks at ways the proposed Solvency II directive for insurers could be applied to occupational pensions. Many in the industry see far more problems than solutions in its application
Europe rotates the ratings messenger
January 3, 2012New European Commission proposals to force issuers to rotate ratings agencies every three years could lead to less stable and accurate ratings.
MiFID II: an end to the reign of OTC transactions
December 1, 2011The European Commission has published MiFID II in an attempt to shake up the financial markets. But with the EC's radical overhaul of the framework, how will it affect the over-the-counter derivatives market?
Turkey fixes a regulator that isn’t broken
November 1, 2011Turkish financial regulators are widely credited with steering the sector successfully through the global financial crisis. So why is the government abolishing their independence?
EU divided over scope of derivatives regulation
October 3, 2011The European Market Infrastructure Regulation is designed to bring some much-needed stability to the over-the-counter derivatives market, but disagreements about exactly what it is should cover are slowing its progress. It is looking increasingly unlikely that the EU will not meet the G-20 deadline.
Is CRD4 too far, too soon for a fragile Europe?
September 1, 2011The European Commission has finalised its proposal on the fourth iteration of the Capital Requirements Directive. It makes the EU the first jurisdiction to pass into law the Basel III rules agreed last year. Many are worried about the impact it may have while European economies remain fragile.
Dodd-Frank Act's long arm is felt around the world
August 1, 2011On the one-year anniversary of Dodd-Frank, much may have been achieved, but almost as many rule-making deadlines have been missed. More importantly, there are growing industry concerns that lack of agreement about how to apply the extraterritorial reach of US regulation is a problem that just will not go away.
Basel III struggles to define liquid assets
June 30, 2011The liquidity coverage and net stable funding ratios are intended to ensure that Basel III fills the gaps left by the previous Basel accord. But defining suitable liquid assets is proving difficult.