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.
StanChart sees no need for Basel III capital
Standard Chartered (StanChart) believes it is already well capitalised and has no plans to react to Basel III proposals by building up more capital.
Basel Committee sets out plans for completion of Basel III
Regulators announce a longer transition period and changes to CVA charge
Regulators to present living wills proposals to G-20
Banks asked to draw up blueprints for resolution as part of a pilot scheme
Basel CVA changes criticised
The Basel Committee on Banking Supervision has adapted its proposals for a capital charge on counterparty risk following industry feedback, but banks were hoping supervisors would go further. By Mark Pengelly
Lufthansa wary of OTC regulations
Corporates across the globe have lobbied to ensure end-users are not subjected to new clearing requirements for derivatives. For Lufthansa’s treasury department in Frankfurt, ensuring it is able to continue to hedge its foreign exchange and interest rate…
A focus on gone-concern contingent capital
Regulators have found it easier to reach consensus on a standard for contingent capital that converts at the point of a bank’s insolvency, but continue to struggle with the definitions for going-concern conversion. How will supervisors proceed? Joel…
Liquidity takes centre stage for banks and regulators
Regulators and banks have increased their focus on liquidity risk management significantly since the crisis. William Perraudin discusses some of the possible implications
Sigor assesses QIS data but capital rule changes will wait
Basel Committee considers recalibrating the simpler approaches to op risk measurement but says changes will happen later rather than sooner
Change is the only constant
Regulatory change is inevitable, but those in Basel say they are taking it slow
Basel counterparty risk charge to be reworked
Several aspects of Basel counterparty risk charge up for revision, including calibration and index hedges
Basel III leverage ratio compromise ‘temporary’
Architect of Hong Kong dollar currency peg believes regulators outside Asia must do more to address threat from 'shadow banking'
Key Basel III decisions due as oversight board gathers
Governors and heads of supervision will review recommendations brought forward from July 14-15 Basel Committee meeting
Basel Committee counter-cyclical proposals tie buffers to economic indicators
Committee publishes paper on counter-cyclical capital and defers recommendations on Basel III to oversight board meeting on July 26
Funding concerns for banks could prompt Basel III rethink
The deadline for the implementation of proposed regulation may be extended, as banks protest against the potential impact of stringent new capital and liquidity rules.
Quant Congress USA: Economist praises dynamic provisioning
Barclays Capital senior economist praises dynamic provisioning approach to loan losses
Quant Congress USA: 'High risk of mis-calibration' in Basel III
Tight timetable for Basel III, politicisation and new liquidity ratios criticised by CRO
Index hedges may be allowed in Basel CVA charge
Basel Committee modelling group chair suggests index hedges and double counting could be fixed in proposed CVA charge.
Regulation to reshape bank funding
Contrasting regulation for buyers and issuers of bank paper is adding to stress in funding markets.
No changes yet as Basel III redrafting looms
Basel Committee members are seeking to fend off speculation they have already decided to abandon or rewrite key elements of their proposals.
Riksbank's Persson: Making the European financial system safer
Regulators and politicians know what needs to be done to put the eurozone on an even keel and fix the holes exposed by the subprime crisis, says Mattias Persson, head of financial stability at the Sveriges Riksbank, Sweden’s central bank. The result will…
Sheen: The FSA's go-to guy for op risk
Andrew Sheen at the UK Financial Services Authority has rapidly become one of the most respected experts in operational risk, perhaps due to his clear vision of where the profession needs to go and what it must do to get there.
Regulators refute calls for Basel III rethink
Speculation that Basel Committee will scrap key proposals in bank capital framework is misplaced, say insiders.