Mon, Jun 26, 2017
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. FinTech - Rise of robots: Inside the world's fastest growing hedge funds[more]

    From Bloomberg.com: Believe the hype. Quants have never been more popular. After doubling over the past decade, assets run by so-called systematic funds have hit a record $500 billion this year, according to estimates from Barclays Plc. In some ways, their meteoric rise is due to the same technolog

  2. Legal - Bond market concerns could scuttle Paulson's Fannie-Freddie plan[more]

    From Bloomberg.com: A hedge fund proposal for freeing Fannie Mae and Freddie Mac from U.S. control is poised to face stiff opposition from investors who say it risks wrecking the mortgage-bond market. The Moelis & Co. blueprint, which firms including Paulson & Co. and Blackstone Group LP sponsored,

  3. Other Voices: Are your pricing policies and procedures for less liquid instruments adequate?[more]

    Komfie Manalo, Opalesque Asia: The unrelated position mismarking incidents that quickly precipitated the closures of both Visium Asset Management and Marinus Capital have been recent focal points for market participants, but regulatory scrutiny of valuation choices for less liquid instruments is

  4. FinTech - AI hedge fund Numerai now live on Ethereum, Cryptocurrency hedge funds generate huge returns as bitcoin surges[more]

    AI hedge fund Numerai now live on Ethereum From Cryptoninjas.net: Back in February, Numerai announced numeraire (NMR), a cryptographic token to incentivize a new kind of hedge fund built by a network of data scientists. Earlier today, the Numeraire smart contract was officially deployed

  5. Investing - Advisors slash hedge fund positions, Theravance Biopharma is a top pick of investment guru Seth Klarman, As asset management industry grows a search for new revenue streams[more]

    Advisors slash hedge fund positions From Barrons.com: Financial advisors have cut wealthy clients' exposure to hedge funds by up to one third over the past 12 months, The Financial Times reports. Advisor firms in the FT's annual top-300 ranking have reduced their hedge fund allocation to