Posts by Josh Galper

Basel Committee, Basel III

Governors and Heads of Supervision commit to ongoing coordinated approach to mitigate Covid-19 risks to the global banking system and endorse future direction of Basel Committee work The Group of…

Fed releases Sept 2020 SCOOS with focus on reserve balances

November 30, 2020

reserve balances, SCOOS

In September 2020, the Federal Reserve conducted a Senior Financial Officer Survey to gather views systematically from a number of banks concerning how the increase in reserve balances in the…

Regulators plan for end of LIBOR on December 31, 2021

November 30, 2020

Federal Reserve Board welcomes and supports release of proposal and supervisory statements that would enable clear end date for U.S. Dollar (USD) LIBOR and would promote the safety and soundness…

S&P Global and IHS Markit announce merger

November 30, 2020

S&P Global and IHS Markit announced an all-stock merger valuing IHS Markit at $44 billion. In a statement to clients, Dan Draper, S&P Dow Jones Indices’ CEO, said: “Combining S&P…

UK PRA expects to publish CRD V policy in mid-December

November 30, 2020

CRD-V, PRA, Prudential Regulation Authority, UK

The UK approach to implementing CRD V will occur through The Financial Holding Companies (Approval etc.) and Capital Requirements (Capital Buffers and Macro-prudential Measures) (Amendment) (EU Exit) Regulations 2020Opens in…

Momentum builds on climate risk stress tests

November 30, 2020

Climate Risk, ECB, Federal Reserve, Regulatory

BPI, climate change, ECB, Federal Reserve, topstory

Finadium research clients are invited to join our December 8, 2020 webinar, Climate Risk Accounting – Rationales, Methodologies and What to Expect. Continue reading

Pirum enhances JPM tri-party connectivity to facilitate Dual Matching of RQVs

November 27, 2020

JP Morgan, Pirum, RQV, tri-party

Pirum is pleased to announce an enhancement to its connectivity with J.P. Morgan tri party, which can now facilitate Dual Matching of RQV’s for market participants. This development builds on…

Bank of England research on ring-fencing and bank funding structures

November 27, 2020

Bank of England, ring-fencing

Ring-fencing came into effect at the start of 2019. The regulation requires large UK banking groups to separate their core retail banking services from their investment banking activities, in order…

Trying to tie SFTR data back to existing market sources (Premium)

November 26, 2020

Europe, Regulatory, SFTR

Data, Europe, SFTR, topstory

When considering ICMA, US repo sources and market data vendor in securities finance, can SFTR data be lined up? SFTR data published by Trade Repositories can generate some useful observations…

FT: UK grip on European derivatives at risk in fight over post-Brexit rules

November 25, 2020

Brexit, CCP, derivatives, Europe, Financial Times

European regulators have refused to soften rules on swaps trading by EU banks in the UK, threatening London’s post-Brexit hold on a derivatives market worth €50tn a year. The Paris-based…

Fed blog finds concentration of bank reserves in March 2020

November 24, 2020

bank reserves, Federal Reserve, Liberty Street Economics

How Bank Reserves Are Distributed Matters. How You Measure Their Distribution Matters Too. Changes in the distribution of banks’ reserve balances are important since they may impact conditions in the…

What the Financial Stability Board is saying about non-bank financial intermediation (Premium)

November 24, 2020

Financial Stability Board, Hedge Funds, Money Market Funds, Regulatory

COVID-19, FSB, hedge funds, money market funds, NBFI, Non-Bank financial intermediation, topstory

On November 17, 2020, the Financial Stability Board (FSB) published its Holistic Review of the March Market Turmoil. This is a wide-ranging report that has a lot to say about…

ESG is giving agent lenders something they’ve always needed (Premium)

November 23, 2020

Agent Lenders, financial resource optimization, Securities Lending, topstory

Securities Lending

ESG trends have shaped up to be a major opportunity for securities lending. While there’s little difference in the actual process of making a loan, agent lenders are starting to…

If everyone is dodging responsibility for March’s Treasury market volatility, then what caused it?

November 19, 2020

Hedge Funds, Investments, Regulatory

hedge funds, ICI, Managed Funds Association, money market funds, topstory, US Treasuries, volatility

This has turned into a game of hot potato. Last March’s market volatility in US Treasuries was well documented with a series of actors blamed for possible causes, from hedge…

US Office of Financial Research’s 2020 Report Finds Elevated Financial Stability Risks

November 18, 2020

Office of Financial Research, OFR

The Office of Financial Research (OFR) submitted its 2020 Annual Report to Congress today, which concluded that unexpected turbulence from the COVID-19 pandemic elevated risks across financial markets and revealed…

VERMEG launches new collateral management platform, Colline.Cloud, for small and medium sized firms

November 18, 2020

collateral management, Colline, Vermeg

VERMEG, the leading banking and insurance software solutions provider, has today launched Colline.Cloud, a highly cost-efficient end-to-end collateral management service, aimed at smaller buy and sell-side firms. The launch comes…

Deutsche Börse acquires leading governance, ESG data and analytics provider ISS

November 18, 2020

– Deutsche Börse to acquire majority stake in Institutional Shareholder Services (ISS) in partnership with current management and Genstar Capital, based on an ISS valuation of USD 2,275 million (EUR…

WeMatch TRS goes live in the US with J.P. Morgan and Societe Generale

November 18, 2020

Total Return Swaps, US, Wematch

WeMatch has officially launched its US Total Return Swap (TRS) solution on Oct 6, 2020. This new platform allows Dealers in the US to match, negotiate, import, and manage lifecycle…

ESMA report finds European trading volumes at €27tn in equity markets and €101tn in bond markets in 2019

November 18, 2020

ESMA, Europe, securities markets

The European Securities and Markets Authority (ESMA) published its first statistical report on European Union (EU) securities markets, with a focus on market monitoring, reference and transparency data and securities…

Judy Shelton nomination to Federal Reserve Board fails to proceed in US Senate

November 17, 2020

Federal Reserve, Judy Shelton, US Senate

Vote Summary Question: On the Cloture Motion (Motion to Invoke Cloture: Judy Shelton to be a Member of the Board of Governors of the Federal Reserve System ) Vote Number:…

Two BofE speeches on leveraged investors and liquidity chains in market-based finance

November 17, 2020

Bank of England, Liquidity, Repo

The impact of leveraged investors on market liquidity and financial stability Speech given by Sir Jon Cunliffe, Deputy Governor Financial Stability, Member of the Financial Policy Committee, Member of the…

UK makes its own go-live dates for Investment Firms Prudential Regime and Capital Requirements Regulation II

November 17, 2020

CRR II, UK

As the Financial Services Bill continues its progress through Parliament, HM Treasury, the FCA and the PRA consider it appropriate to update industry on planned timelines for introducing the UK’s…

FSB releases Holistic Review of the March Market Turmoil

November 17, 2020

COVID-19, FSB

The analysis conducted and the issues identified in this report suggest that the efforts of the international regulatory community to reinforce the resilience of NBFI, while preserving its essential functions…

Hedge fund financing margins and trading decisions (Premium)

November 17, 2020

CCP, Collateral Management, Hedge Funds, Repo

bilateral, CCPs, hedge funds, Margin, topstory

We’ve heard from several hedge funds lately that they consider margin on repo and OTC derivatives a big deal when considering their trading options. If hedge funds drive the leveraged…

Rates & Repo 2020: Electronic Trading and CCP Clearing in Repo

November 16, 2020

Finadium is pleased to present this Rates & Repo webinar replay, originally held on November 10, 2020. The discussion centers on what’s happening and what’s next for cleared repo, important…

Siebert Financial expands securities finance business

November 16, 2020

securities finance, Sibert, StockCross

Siebert Financial Corp. (NASDAQ: SIEB) (“Siebert”), a provider of financial services, is excited to announce today the hiring of Anthony Palmeri and Jerry Losurdo to lead Siebert’s Securities Finance Group…

Finadium to host webinar on climate risk accounting – December 8

November 16, 2020

Climate Risk

climate risk, Finadium, topstory

Finadium subscribers are invited to attend a discussion on climate risk accounting. Get up to speed on what regulators are saying, what methodologies are being discussed, and how climate risk…

FSB releases guidance on CCP financial resources for resolution and announces further work

November 16, 2020

CCPs, FSB

The Financial Stability Board (FSB) today published final guidance on financial resources to support central counterparty (CCP) resolution and on the treatment of CCP equity in resolution. The guidance will…

ESMA: 2019 EU derivatives market shrank to EUR 681tn in outstanding total notional

November 16, 2020

derivatives, ESMA, EU, OTC derivatives

Market structure: In 2019 the EU derivatives market shrank to EUR 681tn in outstanding total notional amount in 4Q19 from EUR 715tn a year earlier. The market was slightly more…

Our roadmap for the US Office of Financial Research in a Biden administration (Premium)

November 16, 2020

Regulatory, Uncategorized

Office of Financial Research, topstory, US

The US Office of Financial Research (OFR) has seen a transitional last four years. A new US presidential administration that believes in the OFR as an agency for financial stability…

Harvard professor: hedge funds not responsible for March 2020 US Treasury dislocation

November 13, 2020

hedge funds, Repo, US Treasuries

The Role of Hedge Funds in the 2020 Treasury Market Turmoil Marco Di Maggio This paper provides new evidence about the behavior of hedge funds during the disruptions that occurred…

Axios: Controversial Trump Fed board pick Judy Shelton gets closer to confirmation

November 13, 2020

Axios, Federal Reserve

Judy Shelton looks to be within striking distance of getting a seat on the Federal Reserve Board. Why it matters: Her political background is unprecedented for a Fed candidate, and…

ESMA identifies costs and performance and data quality as new Union Strategic Supervisory Priorities

November 13, 2020

convergence, costs, data quality, ESMA, performance

The European Securities and Markets Authority (ESMA), the EU’s securities markets regulator, using its new convergence powers, has identified costs and performance for retail investment products and market data quality…

On ESG, Bank of England SecLending Committee says no changes but more dialog with clients

November 12, 2020

Bank of England, ESG, Securities Lending Committee

From the Bank of England Securities Lending Committee meeting minutes, 11 June 2020 The Chair provided a brief update on recent ESG developments in the context of COVID-19 disruption. Overall,…

Finadium: US Repo Participants on Market Conditions and Prospects for 2021

November 12, 2020

Regulatory, Repo

Repo, topstory, US

For this report, Finadium surveyed 26 repo market participants across dealers, money market funds, hedge funds and REITs to hear their views on market conditions at the end of 2020…

ION approved to acquire Broadway Technology with conditions

November 11, 2020

Broadway, Ion

UK Competition and Markets Authority press release: The CMA has accepted a proposal from ION to sell Broadway’s fixed income business in order to resolve competition concerns about the completed…

FSB says no changes to this year’s G-SIB list

November 11, 2020

Financial Stability Board, FSB, G-SIB

The Financial Stability Board (FSB) today published the 2020 list of global systemically important banks (G-SIBs) using end-2019 data and an assessment methodology designed by the Basel Committee on Banking…

ESMA publishes report on post trade risk reduction services

November 10, 2020

CCPs, ESMA

The European Securities and Markets Authority (ESMA), the EU’s securities markets regulator, has today released a Report on Post Trade Risk Reduction services (PTRR) under the European Market Infrastructure Regulation…

UK issues equivalence pathway for EU CCPs

November 10, 2020

Brexit, CCPs, EU, UK

HM Treasury equivalence decisions for the EEA States – 9 November 2020 The European Market Infrastructure Regulation (Article 13) Equivalence Directions 2020 will grant equivalence to the EEA States for…

ESMA lays out SFTR reporting expectations after Brexit

November 10, 2020

Brexit, ESMA, SFTR

The European Securities and Markets Authority (ESMA) is updating the statement published in 1 February 2019 in order to provide certain clarifications relating to the derivatives reported under Article 9…

Repo, Total Return Swaps and collateral competition (Premium)

November 10, 2020

cleared repo, Derivatives, Repo, Total Return Swaps

Repo, topstory, Total Return Swaps

For some dealers, repo is now viewed as part of the collateral businesses and not an independent function. It can already be part of a broader business unit including Total…

Goldman Sachs and AccessFintech Launch Derivatives Cash Payments Affirmation Service

November 9, 2020

Access Fintech, derivatives, Goldman Sachs, Total Return Swaps

AccessFintech, a leading fintech company evolving the financial operating model through data and workflow collaboration, announces the launch of a new derivatives cash payments affirmation service, working with Goldman Sachs.…

Early hints of what a Biden presidency means for US capital markets

November 9, 2020

Regulatory, US

Biden, Federal Reserve, topstory, US

As of this writing, it seems clear that Joe Biden will be the next president of the United States and US markets are pricing in the expectation of Republicans maintaining…

HKU Webinar: Passive Ownership and the Securities Lending Market, November 11, 2020

November 8, 2020

Asia, index funds, passive funds, Securities Lending

Speaker: Dr. Daniel Schmidt Associate Professor of Finance HEC School of Management Abstract: We exploit quasi-exogenous variation in passive ownership around the Russell 1000/2000 cutoff to explore the causal effects…

US House Republicans introduce legislation to block financial transaction taxes

November 6, 2020

FTT, US

On October 27, 2020, Congressman Bill Huizenga (MI-02), Republican leader of the Investor Protection, Entrepreneurship, and Capital Markets Subcommittee and Republican leader of the House Financial Services Committee Patrick McHenry…

ISLA and Stech’s Global Principles for Sustainable Securities Lending part ways

November 4, 2020

ESG, ISLA, Securities Lending

The International Securities Lending Association (ISLA), a leading industry trade association representing the common interests of securities lending and financing market participants across EMEA, is pleased to announce important changes…

Finadium Big Ideas Quarterly Q4 2020 now online

November 4, 2020

Derivatives, Securities Lending

Securities Lending, topstory

Our quarterly presentation on research, news and events. Continue reading

Eurex Repo launches Green Bond GC Basket

November 3, 2020

Eurex repo, Green Bonds

The Green Bond GC Basket encompasses Euro denominated debt securities that are issued in adherence with guidelines for Green Bonds as sustainable bonds of renewable energies or sustainable waste management…

US Treasury will borrow $617 billion in Q4 2020, down $599 billion from earlier projections

November 3, 2020

The U.S. Department of the Treasury today announced its current estimates of privately-held net marketable borrowing for the October – December 2020 and January – March 2021 quarters. During the…

A crypto prime broker appears in hedge fund SEC fillings (Premium)

November 3, 2020

Cryptocurrency, Prime Brokerage, Regulatory, Technology

Crypto, Form ADV, hedge funds, Prime Brokerage, topstory