Clearing & Post-Trade

ECB Calls for Common Standards for DLT Use in Post-Trade

19/04/2021

Common protocols and standards are needed to improve the use of DLT in post-trade processes and avoid market fragmentation.

Anti-Money Laundering

China Cracks Down on Payments from Underground Banks

19/04/2021

Criminal groups reportedly colluded with underground banks to launder money by disguising their illegal proceeds as payments for goods.

Structural Regulation

Gary Gensler Sworn Into Office as New SEC Chair

18/04/2021

Gary Gensler was sworn in as the new SEC chairman three days after the US Senate voted to approve his nomination.

Emerging Prudential Risks

Rising Asset Prices May Risk Financial Stability: RBA

18/04/2021

A correction in asset prices, if borrowers’ income were to fall and so they defaulted on debt repayments, could expose lenders to large losses.

Credit Risk

China May Transfer Huarong to Sovereign Wealth Fund – Report

16/04/2021

Huarong’s failure to publish its earnings by its 31 March deadline has prompted concerns of a default by China’s largest distressed debt manager.

CBDCs

Privacy Cited as Top Concern for a European CBDC

15/04/2021

ECB survey respondents cited privacy as the top priority feature for a potential digital euro, followed by security and usability across the euro area.

Reporting & Disclosures

US SEC Warns of Misleading Statement Regarding ESG Investing

14/04/2021

Many financial firms may be offering ESG products only because it is lucrative to do so, says SEC commissioner Hester Peirce.

Supervision & Enforcement

BaFin Faces Criminal Probe Over Wirecard Response

14/04/2021

BaFin has been under fire since mid-last year for failing to properly respond to multiple red flags signalling an accounting fraud at Wirecard.

Trading & Investment

US SEC Identifies Accounting Issues with SPAC Listings

14/04/2021

Some warrants issued to early SPAC investors may have been recorded as equity instruments when they should have instead been recorded as liabilities.