Economics & Monetary Affairs Committee

Chairman Gary Gensler

Good afternoon Chairwoman Bowles and members of the Economic and Monetary Affairs Committee. I thank you for inviting me to speak today on regulatory reform of over-the-counter (OTC) derivatives, or swaps. I am honored that this is the second time that you have asked me to appear before you, but as it goes, it is once again when my daughters are home on spring break. As I did last year, I would like to introduce my two daughters, Lee and Isabel.

Economic and monetary affairs 

EU policymakers should consider the economic impact of potential restrictions on credit default swaps in sovereign debt. That’s according to the Alternative Investment Management Association (AIMA), the global hedge fund association.

Economic and monetary affairs 

European Central Bank President Jean-Claude Trichet was questioned in Parliament’s Economic and Monetary Affairs Committee on Monday about his views on the functioning of the newly established European Systemic Risk Board (ESRB), of which he is also the President.

Economic and monetary affairs announcement:

Committee : Economic and Monetary Affairs

European Parliament and Council negotiators on Tuesday overcame the final major hurdles to an agreement on the alternative investment fund managers directive. Parliament succeeded in pushing through new chapters on asset stripping and remuneration principles, as well as strongly influencing the rules on the passporting system, depositary liability, capital requirements, and use of leverage.

Committee : Economic and Monetary Affairs

European Parliament and Council negotiators on Tuesday overcame the final major hurdles to an agreement on the alternative investment fund managers directive. Parliament succeeded in pushing through new chapters on asset stripping and remuneration principles, as well as strongly influencing the rules on the passporting system, depositary liability, capital requirements, and use of leverage.

The new Basel capital requirement standards agreed in late September are tackling a number of the right issues but much preparatory work is still needed if they are to be transposed into laws which ensure a global level playing field, reduce excessive risk and at the same time do not hamper economic growth. This was the main message to come out of an own initiative resolution adopted on Thursday by the EP plenary.

The European Parliament today approved the so-called Financial Supervision Package, the set of legislation due to create new European watchdogs to control banks, insurances, securities and markets from 1 January 2011.