The Competition and Markets Authority (CMA) has published an addendum to its provisional findings in the retail banking market investigation. The CMA has provisionally found that the capital requirements regime places banks on the standardised approach to calculating risk weights at a competitive disadvantage in lower loan-to-value (LTV) mortgages than banks on the internal ratings-based
On 18 December 2014, HM Treasury published its ‘Review of enforcement decision-making at the financial services regulators’. The focus of the review was on the transparency, fairness, effectiveness and speed of the FCA’s and the PRA’s enforcement decision-making processes. On 19 November 2015, the PRA and the FCA published two reports: (1) a joint report
The Basel Committee on Banking Supervision (Basel Committee) has published a consultative document on guidelines on the prudential treatment of problem assets, setting out definitions of non-performing exposures and forbearance.
In the consultation, the Basel Committee seeks views on definitions of the following key terms used by banks when performing credit risk categorisation:
The Council of the EU has adopted its position at first reading formally approving a legislative package on data protection reform. The legislative package is aimed at updating and modernising existing data protection rules. It includes two legislative instruments: a Regulation on general data protection (intended to replace the Data Protection Directive) and a Directive
The European Securities and Markets Authority (ESMA) has announced that it will publish its first EU-wide stress tests for central counterparties (CCPs) on 29 April 2016. The aim of the stress test is to assess the resilience and safety of CCPs and to identify possible vulnerabilities. ESMA will conduct the stress test in co-operation with
The PRA has published a consultation paper (CP16/16) on a draft Supervisory Statement setting out its expectations on firms in relation to application of the matching adjustment for the purposes of calculating technical provisions, including in the context of applications for matching adjustment approval and the ongoing management of matching adjustment portfolios (MAPs) under the Solvency II Directive.
The Prudential Regulation Authority (PRA) has published a consultation (CP15/16) on a draft supervisory statement that sets out the PRA’s expectations for the recalculation of the transitional measure on technical provisions (TMTP). The draft Supervisory Statement will be of particular interest to firms that have been granted approval to use (or are considering using) the TMTP.
On April 5th, newspapers in Canada began reporting that the Financial Transactions Reports and Analysis Centre of Canada (FINTRAC) had imposed its first ever penalty on a bank. FINTRAC is the government agency created by the Proceeds of Crime (Money Laundering) and Terrorist Finance Act (PCMLTFA) to receive reports from banks and other
The Presidency of the Council of the EU has published its latest compromise proposal relating to the proposed Regulation on money market funds. The latest changes to the compromise text are denoted by bold underline for additions, and bold strikethrough for deletions.
View Presidency compromise (12 April 2016) proposal for a Regulation of the European
The Association for Financial Markets in Europe, the Futures Industry Association, the International Capital Market Association, the International Swaps and Derivatives Association, Inc. and the International Securities Lending Association have jointly published a statement that is intended to help market participants comply with the requirements under the Securities Financing Transaction Regulation (SFTR).
The SFTR’s rules