United States

Basel Committee consults core principles for effective banking supervision

On 6 July 2023, the Basel Committee on Banking Supervision (Basel Committee) published a consultive document on core principles for effective banking supervision (the Core Principles). The Core Principles are the de facto minimum standards for the sound prudential regulation and supervision of banks and banking systems. They are universally applicable and accommodate a range … Continue Reading

IOSCO consults on guidance for effective implementation of the recommendations for liquidity risk management for collective investment schemes

On 5 July 2023, the International Organisation of Securities Commissions (IOSCO) published a consultation report on guidance for effective implementation of the recommendations for liquidity risk management for collective investment schemes. The report provides detailed guidance to support greater and more consistent use of anti-dilution liquidity management tools by responsible entities for open-ended funds (OEFs), … Continue Reading

IRSG consults on draft voluntary code of conduct for ESG ratings and data product providers

By Haney Saadah, Simon Lovegrove (UK) and Daniel Nevzat (UK) on July 5, 2023 Posted in Africa, Asia, Australia, Canada, Dubai and Saudi, ESG, ESG, ESG, ESG, ESG, ESG, ESG, France, Germany, Italy, The Netherlands, United Arab Emirates, United Kingdom, United States

On 5 July 2023, the International Regulatory Strategic Group (IRSG) published a consultation paper on a draft voluntary code of conduct for ESG ratings and data product providers. This draft code of conduct aims to foster a trusted, efficient and transparent market, by introducing clear standards for ESG ratings and data products providers and also … Continue Reading

FMSB publishes spotlight review on data and transparency in precious metals

On 5 July 2023, the Financial Markets Standards Board (FMSB) published a spotlight review on data and transparency in precious metals markets. This review is the third in a series of spotlight reviews by FMSB members that also cover precious metals market structure and post-trade. This review focuses on:… Continue Reading

FATF consults on the revision of Recommendation 8 and its interpretive note

On 30 June 2023, the Financial Action Task Force (FATF) launched a public consultation on the revision of Recommendation 8 and its interpretive note. The FATF is considering proposals for draft amendment text to Recommendation 8 of the FATF Standards and its interpretive note (R.8/INR.8), which aims to protect non-profit organisations (NPOs) from potential terrorist … Continue Reading

Targeted update on implementation of the FATF standards on virtual assets and virtual asset service providers

On 27 June 2023, the Financial Action Task Force (FATF) published a report, Targeted update on implementation of the FATF standards on virtual assets and virtual asset service providers. In October 2018, the FATF updated Recommendation 15 (R.15) to extend anti-money laundering / countering the financing of terrorism (AML/CFT) requirements to virtual assets (VAs) and … Continue Reading

FATF publishes plenary outcomes

On 26 June 2023, the Financial Action Task Force (FATF) published the outcomes from the FATF Plenary, which took place on 21-23 June 2023. Delegates from over 200 jurisdictions of the Global Network and observers from international organisations participated in these discussions at the FATF headquarters in Paris. The outcomes of the discussions included the … Continue Reading

ISSB issues inaugural global sustainability disclosure standards

By Haney Saadah, Simon Lovegrove (UK) and Daniel Nevzat (UK) on June 26, 2023 Posted in Africa, Asia, Australia, Canada, Dubai and Saudi, ESG, ESG, ESG, ESG, ESG, ESG, ESG, France, Germany, Italy, The Netherlands, United Arab Emirates, United Kingdom, United States

On 26 June 2023, the International Sustainability Standards Board (ISSB) published its inaugural standards. The standards are designed to ensure that companies provide sustainability-related information alongside financial statements – in the same reporting package. The standards, which fully incorporate the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), are: The ISSB will work … Continue Reading

FSB consults on toolkit for enhancing third-party risk management and oversight

On 22 June 2023, the Financial Stability Board (FSB) published a consultative document on enhancing third-party risk management and oversight: a toolkit for financial institutions and financial authorities. The toolkit has been developed against a backdrop of digitalisation of the financial services sector and growing reliance of financial institutions on third-party service providers for a … Continue Reading

Latest ESG regulatory updater

By Haney Saadah, Daniel Nevzat (UK) and Simon Lovegrove (UK) on June 21, 2023 Posted in ESG, ESG, ESG, ESG, ESG, ESG, France, Germany, Italy, The Netherlands, United Kingdom, United States

We have published our latest ESG updater, tracking regulatory developments in the ESG space over the last month. Should you wish to receive the updater please contact Haney Saadah. To keep updated on financial services regulation in the ESG space please see our ESG webpage.… Continue Reading

New briefing note: Regulation and lending during a cost of living crisis: Five global themes

In many jurisdictions there has been heightened regulatory scrutiny on how financial institutions are dealing with borrowers in financial difficulty. When looking at the statements and criticisms’ that the regulators have made and what institutions themselves have self-identified, the issues may revolve around five key themes – vulnerable customers, due diligence/understanding customers, forbearance, communications and … Continue Reading

Basel Committee discusses recent market developments and policy initiatives

On 7 June 2023, the Bank for International Settlements (BIS) issued a press release concerning the meeting that the Basel Committee on Banking Supervision (Basel Committee) had on 6 June 2023. At this meeting the Basel Committee took stock of recent market developments and risks to the global banking system. It also discussed various policy … Continue Reading

BIS paper on central bank digital currencies: ongoing policy perspectives

On 25 May 2023, a group of central banks, together with the Bank for International Settlements, published a paper on central bank digital currencies (CBDC): ongoing policy perspectives. Since publishing (i) a report in October 2020 setting out the common foundational principles and core features of a CBDC, and (ii) an executive summary and three … Continue Reading

Basel Committee joint report on margin dynamics in centrally cleared commodities markets in 2022

On 24 May 2023, the Basel Committee on Banking Supervision (BCBS), the Bank for International Settlements’ Committee on Payments and Market Infrastructures (CPMI) and the International Organization of Securities Commissions (IOSCO) published a joint report on margin dynamics in centrally cleared commodities markets in 2022. The report examines margin calls in centrally cleared commodities markets … Continue Reading

IOSCO consultation report on policy recommendation for crypto and digital asset markets

On 23 May 2023, the International Organization of Securities Commissions (IOSCO) published a consultation report containing 18 proposed recommendations intended to help IOSCO members apply IOSCO’s Objectives and Principles for Securities Regulation and relevant supporting IOSCO standards, recommendations and good practices to crypto-asset activities within their jurisdictions. The proposed recommendations cover six key areas: The … Continue Reading

UNIDROIT principles on digital assets and private law adopted at the 102nd session of the Governing Council

On 18 May 2023, UNIDROIT’s Governing Council reported that it had adopted the UNIDROIT principles on digital assets and private law (the principles) at its 102nd session in Rome, Italy. The principles were prepared by a working group on digital assets and private law, which comprised of 25 members, 22 observers from international, regional and … Continue Reading

IOSCO Good Practices Relating to the Implementation of the IOSCO Principles for Exchange Traded Funds

On 12 May 2023, the International Organization of Securities Commissions (IOSCO) published Good Practices Relating to the Implementation of the IOSCO Principles for Exchange Traded Funds. Exchange traded funds (ETFs) are an increasingly popular investment vehicle, which offer investors exposure to underlying markets for stocks, bonds and other assets; portfolio diversification; and access to a … Continue Reading

New briefing note: SEC adopts heightened reporting requirements for private funds

By Andrew Lom (US), Kevin J. Harnisch (US), Steven Howard (US), Rachael Browndorf (US) and Emmanuelle Yeremou-Ngah (US) on May 11, 2023 Posted in Regulation and compliance, United States

In our latest briefing note we look at the SEC’s adoption of new amendments enhancing disclosure requirements for private funds. The amendments are designed to ‘enhance the ability of the Financial Stability Oversight Council (FSOC) to assess systemic risk and to bolster the Commission’s oversight of private fund advisers and its investor protection efforts’.… Continue Reading

FSB publishes statement on final preparations for the USD LIBOR transitions

By Hannah Meakin (UK) on April 27, 2023 Posted in Africa, Asia, Australia, Benchmarks, Canada, Dubai and Saudi, France, Germany, Italy, The Netherlands, United Arab Emirates, United Kingdom, United States

On 27 April 2023, the Financial Stability Board (FSB) published a statement to encourage final preparations for the USD LIBOR transition. The statement highlights the following:… Continue Reading

FSB report on climate-related financial risk factors in compensation frameworks

By Haney Saadah and Simon Lovegrove (UK) on April 21, 2023 Posted in Africa, Asia, Australia, Canada, Dubai and Saudi, ESG, ESG, ESG, ESG, ESG, ESG, France, Germany, Italy, The Netherlands, United Arab Emirates, United Kingdom, United States

On 20 April 2023, the Financial Stability Board (FSB) published a report on climate-related financial risk factors in compensation frameworks. The impact of climate change on the financial system is becoming a strategic priority for financial institutions and regulators. In turn, financial institutions are increasingly adopting climate-related metrics in compensation frameworks and many jurisdictions have … Continue Reading

Wolfsburg Group publishes updated ABC programme guidance

On 17 April 2023, the Wolfsburg Group published an updated version of its anti-bribery and corruption compliance programme guidance. The publication is designed to provide guidance to the financial services industry on how to develop, implement and maintain an effective anti-bribery and corruption (ABC) compliance programme, and should be read in conjunction with applicable legislation, … Continue Reading

FSB publishes final report on recommendations to achieve greater convergence in cyber incident reporting

On 13 April 2023, the Financial Stability Board (FSB) published a Final Report on recommendations to achieve greater convergence in cyber incident reporting. The report notes that cyber incidents are rapidly growing in frequency and sophistication. At the same time, the cyber threat landscape is expanding amid digital transformation, increased dependencies on third-party service providers … Continue Reading

FSB publishes letter to G20 on recent banking turmoil and cyber threats

On 12 April 2023, the Financial Stability Board (FSB) published a letter from its Chair, Klaas Knot, to G20 Finance Ministers and Central Bank Governors, ahead of their meeting on 12-13 April. The letter discusses the recent turmoil in the banking sector and touches on its recommendations to address increasing cyber threats. Mr Knot notes … Continue Reading

New FinTech Pulse podcast: US federal regulators’ regulatory enforcement activity against crypto exchanges

By Stephen Aschettino (US), Andrew Lom (US) and Kevin J. Harnisch (US) on April 5, 2023 Posted in Enforcement, Fintech, United States

In a special edition of our FinTech Pulse podcast series, US partners Stephen Aschettino, Andrew Lom and Kevin Harnisch discuss the recent uptick in regulatory enforcement activity from federal regulators against crypto exchanges, with the SEC issuing a Wells Notice to Coinbase and suing Beaxy, and the CFTC suing Binance and seeking permanent injunctions to … Continue Reading