Europe
Climate risk taxonomy close, but still a moving target – EC
FCA warns of ‘greenwashing’
Eurozone banks' excess liquidity highly concentrated – ECB
German and French banks hoarding cash
Ice swap rate adds RFQ data; adopts Sonia
Industry backs overhaul of term swap rate to curb non-publication and hasten Libor switch
Opening the buy-side liquidity pool
Vikash Rughani, business manager at triReduce and triBalance, outlines a new approach enabling buy- and sell-side participants to optimise the transition of legacy Libor over-the-counter swaps contracts to alternative reference rates
Ice adds insurance to default waterfall
Protection promises partial recovery of guarantee funds at three CCPs
EBA’s Campa: reduce Pillar 2 charges to offset output floor
Bankers plead for smaller capital hit and more predictability on implementation of Basel III
Robo-raters help banks vet vendors for cyber risk
Specialists tout service for monitoring third parties amid tougher rules on outsourcing risk
Swiss banks ask, how about a magic trick?
Banks pull off an accounting trick – with the help of their regulator
Prime services – It’s about what you bring
There are many benefits to integration – particularly when it comes to the provision of prime services. Societe Generale has followed this path, which has allowed it to improve cost efficiency and improve the range of products it can offer. The bank has…
Cat risk: why forecasting climate change is a disaster
Forecasters are poles apart on climate-driven catastrophes; insurers fear worse ahead
Trading non-cleared derivatives tougher in Q3 – ECB
Twelve percent of respondents said trading conditions worsened for interest rate products
Generali’s solvency ratio continues to slide
Rate cuts, bond movements hike SCR and bite into own funds
Fed’s repo operations will not fix rate spikes, dealers say
Risk USA: leverage constraints remain, even after massive injections of emergency liquidity
UK financials pilot £4bn Sonia bond switch
Lloyds, Santander UK and Nationwide follow ABP with legacy bond transition
LCH won’t back single fix for swaptions switch
Clearing house pledges to “support” multiple solutions to discounting problem
French banks, jump-to-default and STS for synthetics
The week on Risk.net, October 26–November 1, 2019
CaixaBank approaches MREL target
Innovative social bond helps fill bail-in buffers
ING confident of capital target despite headwinds
Countercyclical capital charges push minimum capital requirement higher
Structural snags frustrate STS for synthetics
Curbs on excess spread and collateral stymie route to ‘high-quality’ signifier
French banks cry foul over EBA’s 2020 stress-test plan
Assumptions about the cost of household sight deposits are “not plausible”, critics say
Model scrutiny depletes Santander’s capital ratio
Targeted review of internal models takes 28bp off CET1 ratio year-to-date
Banks join forces on model development utility
Crisil is working with HSBC and three other banks on platform to share model-building tools
Eurozone G-Sibs’ modelled risk weights well below average
Six of eight systemic lenders have modelled risk weights lower than the G-Sib and European mean
Double trouble: don’t blur FRTB deadlines, warns ECB
Ignoring reporting model deadline could muddy capital approval cut-off