European Union (EU)
ING warns of ‘dramatic divergence’ in interest rates if euro fails
Widely diverging interest rates could occur if EMU is dissolved, warns Dutch insurer
Hedge funds caught in EU Capital Requirements Directive
New European Union compensation rules affect hedge funds before AIFM comes in force
Questioning collateral
European financial markets have been turned upside down by the sovereign debt crisis, with eurozone government bonds no longer regarded as completely risk-free. As a result, dealers are more wary of the correlation inherent in collateral denominated in…
AIFM first reading vote delayed until September
Belgium is set to take over negotiations for the alternative investment fund managers (AIFM) directive after talks between the European Union council and parliament broke down last week.
Concerns grow on correlation of derivatives collateral
Sovereign debt crisis raises fears about correlation of derivative collateral denominated in domestic currencies
FTSE indexes track firms' carbon exposure risk
Two new carbon indexes will enable investors to make investment decisions based on how carbon reduction schemes affect company earnings
Delay of aviation EU ETS inclusion ‘unlikely’
Experts doubtful over a delay to aviation's entrance into the EU ETS due to the volcanic ash cloud, after Lufthansa CEO calls for delay until 2013
Social networking asks new questions of compliance
Companies must follow the varying demands of regulators in social networks, as markets have different obligations.
‘Fatal flaw’ may derail euro project, says Axa
Global head of fixed income at Axa says a more cohesive political union is needed if the Eurozone is to survive.
Investors concerned over German banks' exposure to southern Europe
Investors and economists have identified German banks’ exposure to Europe’s indebted peripheral sovereigns as a potential risk to state finances.
European derivatives draft to be published for consultation within days
EC derivatives legislation set to be far more detailed than US financial reform bills, and open to industry comment before final adoption.
Contagion fears drive volatility
The takeover of a Spanish savings bank last month and rumours of funding difficulties at the country's financial institutions spook investors
Lack of co-ordination contributes to European market sell-off
The Bafin decree on short selling in May signalled a lack of agreement by European regulators, say participants
Risk roulette on eurozone scenarios
The European Union and International Monetary Fund agreed a €750 billion emergency loan package in early May, aimed at averting a sovereign default and wider crisis across the eurozone. Nonetheless, banks have been preparing for the worst, stress testing…
Self-referencing CDS risk?
Ballooning credit default swap spreads on European sovereigns have encouraged some market participants to sell credit protection on their own country. But how much is this protection really worth, and could this selling contribute to systemic risk? Mark…
FOA: Details of new infrastructure derivatives rules expected shortly
European Union regulators to clarify controversial new derivatives and central clearing rules in a new regulation rather than previously intended directive, avoiding lengthy and politically sensitive procedure
German economic strength 'a fallacy': Charles Dumas interview
The Lombard Street Research chairman tells Credit the German economy is far weaker than has been supposed.
Third countries dominate AIFM negotiations
The question of how to deal with funds and managers based outside the European Union (EU) is proving the main dividing point in negotiations over the alternative investment fund managers (AIFM) directive.
Where next after May's month of mayhem? Rob Davies column
It seems that the European authorities are powerless to restore confidence to the financial markets, and the prospect of a double-dip recession is looming closer.
Debt-ridden Spain and Portugal face new threats to credit status
Clouds are gathering over the Iberian peninsula. Attention is shifting from Greece, given temporary respite by the EU-IMF bailout, to Spain and Portugal as fears mount over their fiscal deficits and spiralling unemployment figures.