Fri, Sep 19, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

European Commission, IMF officials weigh in on shadow banking

Monday, September 16, 2013

Bailey McCann, Opalesque New York:

International bodies are weighing in on shadow banking. Last week, the European Commission released its roadmap for how it plans to handle risk from shadow banking activities and today, an IMF official in China said that shadow banking in China will not cause a collapse of that economy despite risks. Both moves may bolster the alternatives industry as more and more firms enter the speciality finance space.

The European Commission has plans to reform how it monitors shadow banking activities. The roadmap is far-reaching and detailed in terms of how it sees the space and what it plans to do. The plan takes a fivefold approach to regulating shadow banking, making for a process that will be lengthy and heavily lobbied. The Commission has valued the global shadow banking industry in 2010 at €51 trillion, and says that its goal in regulation is to build investor trust and confidence.

The five point plan came a week after the Financial Stability Board issued its Final Policy Recommendations and reaffirms many of those definitions and guidelines. However, shortly after the plan was introduced several EU member states including Germany expressed dissatisfaction with the plan saying the proposed regulations didn't go far enough. Presumably, only when all liquidity is gone from the markets will participants be sufficiently supervised.

Law firm Clifford Chance ......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. SEC charges 19 investment firms and one trader for breach of Rule 105[more]

    Benedicte Gravrand, Opalesque Geneva: The Securities and Exchange Commission (SEC) started a push to enhance the enforcement of Rule 105 of Regulation M last year to uncover hedge funds and private equity firms that have illegally participated in an offering of a stock after short selling it duri

  2. Fund managers, bullish on Europe, anticipate monetary policy separation of Fed and ECB[more]

    Komfie Manalo, Opalesque Asia: At least 202 fund managers with $556bn of assets under management said that while the European Central Bank (ECB) has eased its monetary policy that sent sentiments towards Europe to pick up, the Fed is expected to hike its rate in the spring of 2015. Investor

  3. News Briefs - Limited partners of investment managers may be subject to self-employment taxes, Just one week left until NYC's Rocktoberfest[more]

    Limited partners of investment managers may be subject to self-employment taxes On September 5, 2014, the Internal Revenue Service (“IRS”) issued Chief Counsel Advice 201436049, concluding that members of an investment manager were subject to self-employment taxes with respect to their e

  4. Institutions - Adviser's faith in hedge funds unshaken by CalPERS' move Advisers weigh in on CalPERS’ decision, Gina Raimondo sees no reason to follow California’s lead, exit hedge funds, Danish pension funds step up 'alternative investments'[more]

    Adviser's faith in hedge funds unshaken by CalPERS' move From WSJ.com: Financial advisers who use hedge funds in their clients' portfolios say they aren't rethinking that approach after a huge California pension fund announced plans to exit the hedge-fund market. The decision by the Cali

  5. Short Selling - Notorious U.S. short-seller targets Alibaba[more]

    From Wantchinatimes.com: A notorious American short-seller appears to have "targeted" Chinese internet giant Alibaba on the eve of its historic public listing on the New York Stock Exchange, reports Chinese web portal Hexun. Alibaba's highly-anticipated listing on Friday could potentially be the big