Compliance & Risk Management

Latest Headlines

Latest Headlines

ICE outlines plans for shoring up Libor against abuse

The new administrator of the London Interbank Offered Rate, or Libor, has unveiled its proposed plans for basing calculation of the Libor rate on actual transactions, instead of estimates, to make it less susceptible to manipulation.

Deutsche Bank says clampdown on 'disruptive' behavior is prompting departures

As firms face ongoing investigations into the involvement of their traders in the FX and Libor rate rigging scandals, Deutsche Bank has implemented a new personnel policy that puts more weight on compliance with firm policies, procedures and values when calculating employee bonuses. Some employees who don't like it, have already begun leaving, the firm says.  

Banks agree to pause swaps terminations when one party defaults

Eighteen banks have agreed to temporarily withhold from terminating swaps contracts when a counterparty defaults and is in danger of failing. The rule is intended to give regulators time to reorganize a troubled bank and prevent a repeat of derivatives terminations like the ones that may have hastened Lehman Brothers' demise.

Banks reportedly near deal on how to handle swaps when one party fails

Banks are reportedly very near to an international deal to temporarily waive their rights to terminate derivatives contracts when one party defaults. The deal is considered an important part of a crisis plan to avoid repeats of crises like the Lehman bankruptcy.  

Senators angry at CFTC over weak commodities manipulation settlement

Last month, natural gas trader Brian Hunter agreed to pay a $750,000 fine to settle Commodity Futures Trading Commission allegations that he manipulated commodity markets. Three senators are now complaining that the settlement is an embarrassment, considering the severity of Hunter's manipulation.

NYSE to switch its market surveillance from Finra to NYSE Regulation subsidiary

The NYSE Group will not renew some aspects of its market surveillance, investigation and enforcement contract with the Financial Industry Regulatory Authority when the contract expires Dec. 31 and instead will hand over market surveillance duties to its own NYSE Regulation subsidiary.

Regulatory pressures have made COO role more strategic, study shows

As regulatory and market structure changes drive business transformation, they are not only giving chief operating officers more responsibilities but new ones too, according to a recent study from...

BNY Mellon exits derivatives sales and trading as regulations affect costs

BNY Mellon is exiting the derivatives sales and trading business that has been part of its Global Markets group, the company said on Monday.  The Wall Street Journal  cited regulatory developments surrounding derivatives as a factor in the firm's decision.  

Finra moves forward with CARDS, outlining proposed data collection elements

The Financial Industry Regulatory Authority (Finra) has published its proposal for implementing its controversial Comprehensive Automated Risk Data System (CARDS). The proposal outlines a phased-in approach to building the system and details the types of data that will be collected from the industry.  

Recovering from rate-fixing scandals, FX industry forms trade group

A wide cross-section of foreign exchange industry players has joined forces to form a currency markets trade group as the FX industry rehabs its image following rate fixing scandals. The group, called the Foreign Exchange Professionals Association, says it will use education, research and advocacy to advance "a sound, liquid, transparent and competitive global currency market."