FSB publishes report on bank risk disclosures. The Financial Stability Board (FSB) released a report prepared by its Enhanced Disclosure Task Force on the Impact of Expected Credit Loss Approaches on Bank Risk Disclosure, which examines the changes banks will need to make to their financial disclosures to comply with new accounting standards on expected credit loss. (12/7/2015) FSB press release.
ISDA, CFA sign agreement to strengthen cooperation. The International Swaps and Derivatives Association signed a Memorandum of Understanding with the China Futures Association to establish a framework for the exchange of information, the exchange of staff and training, and the co-hosting of educational industry conferences. (12/4/2015) ISDA press release.
ISDA OTC Derivatives Compliance Calendar. The ISDA has updated its OTC Derivatives Compliance Calendar. (12/1/2015)
IOSCO and CPMI report on implementation of Responsibilities for authorities in the PFMI. The International Organization of Securities Commissions (IOSCO) and the Committee on Payments and Market Infrastructures (CPMI) published a report that contains the findings of their joint assessment of the completeness and consistency of frameworks and outcomes arising from the implementation of Responsibilities for authorities in the Principles for financial market infrastructures (PFMI). (11/30/2015) Joint press release.
ISDA and IIFM publish Islamic Cross Currency Swap to address risk from currency rate mismatches. The ISDA and the International Islamic Financial Market (IIFM) released the ISDA/IIFM Islamic Cross Currency Swap, a new Islamic hedging product standard that will allow parties to raise funds through a Shari’ah-compliant contract in one currency against another Shari’ah-compliant contract in a different currency. (11/26/2015) ISDA press release.
IOSCO and CPMI consult on guidance for cyber resilience for financial market infrastructures. IOSCO and CPMI published a consultative paper that seeks comment on proposed guidance for financial market infrastructures to reduce the risk of cyber threats and increase their cyber resilience. Comments are due on or before February 23, 2016. (11/24/2015) Joint press release.
FSB peer review of Turkey. The FSB published its peer review of Turkey, which examines the steps taken by Turkish authorities to implement reforms related to the macroprudential policy framework and tools, and bank resolution. (11/19/2015) FSB press release.
FSB reports on transforming shadow banking into resilient market-based finance. The FSB published three reports relevant to shadow banking. The FSB’s progress report on Transforming Shadow Banking into Resilient Market-based Finance reviews the actions taken to implement the FSB’s approach to address financial stability concerns associated with shadow banking. The Global Shadow Banking Monitoring Report 2015 discusses the results of the FSB’s most recent monitoring exercise to assess the global trends and risks of the shadow banking system. The FSB’s report on the regulatory framework for haircuts on non-centrally cleared securities financing transactions finalizes policy recommendations in the framework. (11/12/2015) FSB press release.
ISDA initiates new Resolution Stay Protocol. The ISDA announced the relaunching of the ISDA Resolution Stay Protocol to cover securities financing transactions (SFT), which allows participating entities to apply statutory stays on cross-default and early termination rights to cross-border derivatives and SFT transactions in the event a bank counterparty enters into resolution. (11/12/2015) ISDA press release.
ICMA releases SFT Annex as part of ISDA’s Resolution Stay Protocol. ICMA published an SFT Annex to accompany the release of the ISDA’s new Resolution Stay Protocol. The SFT Annex will assist market participants who use certain securities financing master agreements to recognize and comply with resolution regimes that require statutory stays on early termination rights. (11/12/2015) ICMA press release.
ICMA Q&A on MiFID II/R and Repo. ICMA published questions and answers regarding MiFID II, the Markets in Financial Instruments Regulation, and how the regulations impact repo markets. (11/11/2015) ICMA Q&A.
Basel Committee consults on revisions to capital treatment of simple, transparent and comparable securitizations. The Basel Committee published a consultative document that proposes additional criteria for differentiating the capital treatment of simple, transparent and comparable securitizations. Comments are due on or before February 5, 2016. (11/10/2015) BIS press release.