IOSCO consults on trading venue and market intermediary risk management: IOSCO has published two consultation papers looking at risk management in trading venues and market intermediaries, with a focus on finding any gaps in business continuity and recovery planning:

  • the consultation on mechanisms for trading venues to effectively manage electronic trading risks and plans for business continuity sets out recommendations to help regulators ensure that trading venues can manage effectively a broad range of evolving risks. It also proposes sound practices the venues should consider when developing and implementing risk mitigation mechanisms and business continuity plans;
  • the consultation on market intermediary business continuity and recovery planning sets out standards and sound practices for regulators when supervising intermediaries but IOSCO suggests it will be useful for intermediaries to use in their planning also.

IOSCO asks for comments by 6 June. (Source: IOSCO Consults on Trading Venue and Market Intermediary Risk Management)