Subject: Amid tariff turmoil, banks warned not to fudge IFRS 9 overlays

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TOP STORY

Amid tariff turmoil, banks warned not to fudge IFRS 9 overlays

Flip-flopping US policies challenge loan loss provisioning models; EU regulators take watching brief

16 Apr 2025 | Feature

Markets

Vanguard is new kid on the CDS options block

Counterparty Radar: Passive behemoth held a quarter of reported notional among US retail funds in Q4 2024

17 Apr 2025 | News

Risk Quantum

CCP default funds 35% larger than on eve of pandemic

Sixteen out of 25 clearing services had bigger buffers heading into the recent tariff turmoil compared to Q4 2019

17 Apr 2025 | Data

Regulation

European Commission changes tune on proposed FRTB multiplier

Banks fear departure from original diversification factor undermines case for permanent relief

16 Apr 2025 | News

Risk Quantum

JP Morgan’s equity and commodity VAR soar to five-year highs

Trading risk gauges jump 150% and 190% amid Q1 trading flurry

16 Apr 2025 | Data

Comment

Why AI will never predict financial markets

Laws that govern swings in asset prices are beyond statistical grasp of machine learning technology, argues academic Daniel Bloch

16 Apr 2025 | Opinion

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Content hub hosted by Risk.net and UBS. From quantitative strategies to fixed income solutions and agile execution, this Risk.net and UBS content series explores key trends, tactics and innovations that are influencing investors in the current environment.

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Regulation

Supervisors should be mindful of geopolitical risks, says IMF

Shock events cause sizeable swings in asset pricing, institution’s latest report highlights

16 Apr 2025 | News

Markets

EMS vendors address FX options workflow bottlenecks

Vol jump drives more buy-side interest in automating exercises and allocations

15 Apr 2025 | News

Risk Quantum

US hedge funds post near-record low share of securities collateral

SEC data shows $3.66 trillion tied to posted securities at end-2024, down 10% in three months

15 Apr 2025 | Data

Our take

Getting a handle on model parameters

Mean reversion in rate parameters opens the door to dimensionality reduction

15 Apr 2025 | Opinion

RISK JOURNALS

Uncertainty in the macroeconomic environment, corporate tax avoidance and corporate credit financing: evidence from high-tech listed companies in China

Using data from Chinese high-tech enterprises, the authors investigate links between corporate tax avoidance and bank credit financing.

Default risk in the era of environmental, social and governance ratings: a comparative analysis of divergence

The authors investigate links between ESG ratings divergence and default risk, finding firms demonstrating better ESG performance show lower default risk.