The Federal Reserve is proposing to end its long flirtation with Basel internal models, and now is ousting the lead supervisor of Silicon Valley Bank. The actions are two sides of the same coin.
Continue reading..The Federal Reserve is proposing to end its long flirtation with Basel internal models, and now is ousting the lead supervisor of Silicon Valley Bank. The actions are two sides of the same coin.
Continue reading..At first glance, the $388m of fines imposed last month on Credit Suisse (via its new owner UBS) ought to draw a line under the Archegos scandal. But providing equity financing to hedge fund and family office clients is a lucrative business for large banks which involves systemic risk.
Continue reading..Six months ago we warned about held-to-maturity bond losses at US banks, but now the giants that hedged the risk are hoovering up depositors while unhedged regional banks are in crisis
Continue reading..The biggest US banks amassed $2.2 trillion of government and mortgage bond investments, but now the portfolios are underwater and banks must hold them to avoid recording losses. This will have a lasting effect on deposits and the impact of Fed policy.
Continue reading..Bank exposures to commodities have reached record highs and in the wake of the nickel market turmoil in March, the Fed is warning about financial stability implications
Continue reading..Carmakers and other industries need good risk management as they pivot toward climate-friendly products. This has prompted banks to return to taking outsized commodity bets, which in the past have caused trading losses and compliance disasters for many institutions.
Continue reading..Caught between a wall of QE cash and a web of capital rules, what is left for bank CEOs to do? The evidence from securities holdings, bond issuance and TLAC.
Continue reading..How the push for growth turned equity financing into a hotbed of regulatory arbitrage
Continue reading..The banking giant warned that it might slash its vast balance sheet if the Fed doesn’t roll over temporary leverage ratio relief. Could it unleash a wave of turmoil in wholesale markets if it doesn’t get what it wants?
Continue reading..To keep banks operating smoothly during the pandemic, regulators eased capital requirements and boosted trading profits by underpinning financial markets. Did they go too far?
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The Federal Reserve is proposing to end its long f...
At first glance, the $388m of fines imposed last m...
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