Basel III
WHAT IS THIS? Basel III is a set of bank soundness rules drawn up by the Basel Committee on Banking Supervision in response to the financial crisis. It hikes the minimum amount of capital banks must hold, introduces new leverage and liquidity ratios, and limits the use of internal models.
Capital deductions an issue for US banks facing Basel III
US banks will find it easier to comply with Basel III than European counterparts, but capital deductions could pose a problem
China opens up secondary loan market in bid to reduce systemic risk
China has further liberalised its interbank market to let banks transfer loans to each other
Structural changes behind rise in long-dated skew, say dealers
Reduction in risk appetite and regulatory crackdown causing increase in long-dated skew, say equity derivatives dealers
Basel III proposals could put off bond investors
Regulations to increase loss absorbency across the capital structure could deter bond investors from purchasing bank debt, analysts said at CreditSights’ annual conference yesterday.
Basel III 'sub-optimal' says EU think tank
Ceps says regulators went soft as a result of industry pressure
Lehman's legacy
Lehman's legacy
Basel III: Banks fret about return on equity
Investors could shun bank equity if higher capital levels cause returns to slip
Impact of Basel III core capital standards remains unclear, analysts say
As governors back higher capital standards, ex-Bank of England special adviser argues economic impact remains difficult to pin down; commentators say reforms do not address risk attitudes
Morrison & Foerster expands capital markets business with hire of Elana Hahn
Elana Hahn joins Morrison & Foerster's capital markets group in a role that involves guiding clients through regulatory changes.
Subbarao concerned over Basel III countercyclical measures
Reserve Bank of India governor Duvvuri Subbarao cites concern over variable likely to be used to calibrate countercyclical buffers
Axa IM to lend funds secured by ABS
The essential ABS
The battle for retail depositors
The battle for depositors
New projections on economic impact of Basel III at odds with IIF estimate
Analysis by the Macroeconomic Assessment Group shows a smaller impact from higher capital ratios than an earlier industry report.
Basel Committee under time pressure
Time is on the slide
A crucial month for Basel III calibration
Implementing change
Basel Committee defends adjustments to Basel III as calibration decisions loom
Regulators describe difficulties ahead as they prepare for Basel III calibration and transition decisions in September
Financial regulators tighten grip on banks with series of rule changes
July saw amendments to Basel III, the signing of the Dodd-Frank reform bill, and the results of stress tests on European banks. Credit assesses how investor sentiment towards the banking sector has been affected by this activity.
CVA and the equivalent bond
CVA and the equivalent bond
Basel Committee to rethink CVA capital charge
Regulators might adapt the bond-equivalent approach amid claims the methodology will lead to perverse incentives
Regulators tout new impact studies as proof of Basel III’s viability
Basel Committee and FSB studies play down the economic impact of Basel III - proof, regulators say, that the reforms are fit for purpose.
‘Bail-in’ rather than bailout, says European markets group
Association for Financial Markets in Europe proposes regulator-enforced version of contingent capital to replace state-funded bailouts; proposals still troublesome, Goodhart says
Basel III watered down by politics and not fit for purpose, says CLSA risk chief
The most recent draft of the Basel III proposals has been watered down by politics, according to an Asian risk officer.
Asian banks win important Basel III victory but have little to fear
The amendments of Basel III bank capital and liquidity proposals unveiled in July suggest banks have scored an important victory in their efforts to tone down some of the most onerous requirements being proposed by the Basel Committee. But even without…