Prudential Risk

Emerging Prudential Risks

FSB Launches Review to Assess MMF Reform Progress

By Editors | 21/08/2023

The objective of the review is to take stock of the progress made by jurisdictions to assess and address money market fund vulnerabilities.

Conduct, Culture & Accountability

FSS Korea Targets Internal Controls, Lending Compliance at Banks

By Manesh Samtani | 20/08/2023

Bank presidents asked to inspect their institutions’ internal control systems, and to do more to contain rising levels of household indebtedness.

Credit Risk

Chinese Police Urge Investors Not to Protest Investment Losses

By Editors | 20/08/2023

Zhongrong International Trust has defaulted on more than $20bn worth of payments to nearly 30,000 investors in more than 20 wealth management products.

Liquidity Risk

Evergrande Files for Bankruptcy Protection in New York Court

By Editors | 20/08/2023

The Chapter 15 filing is intended to protect Evergrandes US assets while it works to secure approval from creditors for an offshore debt restructuring plan.

Model Risk

ECB Calls on Banks to Simplify and Streamline Internal Models

By Manesh Samtani | 20/08/2023

Banks should consider using less sophisticated approaches for exposure classes that involve small portfolios or portfolios with limited representative data.

Operational Risk

HKMA, AFRC Sign MoU to Strengthen Cooperative Arrangements

By Editors | 17/08/2023

Collaboration will strengthen through case referrals, mutual assistance, capacity building and exchange of information.

Cryptocurrency

FDIC Adds Crypto as Key Risk in Annual Review Report

By Editors | 17/08/2023

The FDIC says it has developed processes to engage in “robust supervisory discussions” with banks on crypto-asset risks.

Emerging Prudential Risks

Macau Amends Financial System Act to Boost Competitiveness

By Mark Johnston | 16/08/2023

The Act introduces a new type of licence for banks focusing on specialty business, among other changes.

Climate Risk

RBNZ Publishes ‘Too Little, Too Late’ Climate Stress Test Scenario

By Editors | 15/08/2023

The climate stress test scenario is titled ‘Too Little, Too Late’ because of the lengthy delay in enacting meaningful global climate policies.