Regulation & compliance

In a Q&A, TriOptima’s David White explores the impact new financial regulation will have on portfolio reconciliation and dispute resolution processing and how firms can adjust operations to comply with new rules.

A report released today by the Committee on the Global Financial System (CGFS) documents a series of enhancements which are designed to make significant and long-lasting improvements to the international banking statistics (IBS) collected by the Bank for International Settlements (BIS).

Full press release and report: http://www.bis.org/press/p121109.htm

The International Swaps and Derivatives Association, Inc. (ISDA) today announced the launch of its Online Library’s new functionality, OL Plus.

Along with the standardized general and product specific risk disclosures that ISDA has been developing, ISDA’s OL Plus assists swap dealers’ compliance with certain US Commodity Futures Trading Commission’s (CFTC) External Business Conduct Rules disclosure and fair dealing in communications requirements.

The staff of the Commodity Futures Trading Commission’s Division of Clearing and Risk today issued an interpretation regarding Part 22, under which Futures Commission Merchants and Derivatives Clearing Organizations must legally segregate each Cleared Swaps Customer’s collateral, but are permitted to operationally commingle the collateral of their Cleared Swaps Customers.

Full press release: http://www.cftc.gov/PressRoom/PressReleases/pr6408-12

Due to the damage caused by Hurricane Sandy, the staff of the Commodity Futures Trading Commission’s Division of Clearing and Risk today issued a no-action letter to temporarily delay the compliance date for the Commission’s Part 22 rules, which set forth segregation requirements for cleared swaps and associated cleared swaps customer collateral, from November 8, 2012 to November 13, 2012.

Full details via press release: http://www.cftc.gov/PressRoom/PressReleases/pr6406-12

SunGard has enhanced IntelliMatch Operational Control to help brokers address today’s market requirements in centrally cleared over-the-counter (OTC) derivatives. The solution’s customers include five of the top 10* Futures Commissions Merchants for reconciliation of exchange traded derivatives (ETD). By extending support to include OTC derivatives, SunGard’s solution now offers a single platform for comprehensive reconciliation automation of both ETD and OTC derivatives, helping increase transparency, reduce operational risk and lower costs.

The Financial Stability Board (FSB) published today its fourth six-monthly progress report on the implementation of over-the-counter (OTC) derivatives market reforms.

Full report and press release: http://www.financialstabilityboard.org/press/pr_121031.pdf

The International Organization of Securities Commissions has published today the final report Survey on Implementation of the Principles for the Regulation and Supervision of Commodity Derivatives Markets, which reviews how Market Authorities1 comply with IOSCO’s recommendations on commodity derivatives markets.

Full press release: http://www.iosco.org/news/

The Basel Committee on Banking Supervision has today published its  Report to G20 Finance Ministers and Central Bank Governors on Basel III implementation by its member jurisdictions. The report will be considered at the meeting of G20 ministers and governors in Mexico City on 4-5 November.

Full press release: http://www.bis.org/press/p121029.htm

Data is still a misunderstood and under-leveraged corporate asset. Nearly a quarter of financial services institutions do not understand the positive impact of potential effective data management on P&L.