On 28th September 2011 European Commission President José Manuel Barroso unveiled the EU Commission’s proposal for an EU wide Financial Transaction Tax (FTT) which would take effect from 1st January 2014. The tax would be levied on all securities and derivative transactions executed within the EU. For Foreign Exchange (FX) instruments spot has been exempted from taxation, however cash (defined as FX forwards and swaps) and derivatives (defined as options) have been included. Global Systemically Important Financial Institutions, or G-SIFIs, havebecome an area of focus for international policymakers. The G20 is driving the development of a newregulatory framework at a political level and has tasked various agencies withcreating more detailed approaches. Theconcern of policymakers is that G-SIFIs are too-big-to-fail, potentially forcingtaxpayers to bear the costs of any failures. GFMA provides comments to the Agency for the Cooperation of Energy Regulators (ACER) regarding the REMIT Registration Format Public Consultation Paper (CP).

The Global Financial Markets Association (GFMA) represents the common interests of the world’s leading https://icotodaymagazine.com/ financial and capital market participants, and speaks for the industry on the most important global market issues. GFMA’s mission is to provide a forum for global systemically important banks to develop policies and strategies on issues of global concern within the regulatory environment. GFXD is supportive of the approach outlined in the joint consultation paper and provide specific comments with respect to the requirements and your questions. In addition, GFXD particularly welcomes the Regulatory Agencies’ to harmonise reporting requirements under the regime with those that will apply internationally. It is essential that the timetable for finalisation of the proposed framework is extended to address those shortcomings.

GFMA Publishes IBOR Transition Documents

GFMA, the European BankingFederation (EBF), and International Swaps and Derivatives Association (ISDA)publish a paper, “International Cybersecurity, Data and Technology Principles,”that offers the groups’ thoughts on foundational principles for the formationof effective policy on cybersecurity, data and technology. GFMA and the Institute of International Finance (IIF) provide comments to Basel Committee on Banking Supervision (BCBS) on the Standardised Measurement Approach (SMA) for operational risk Consultative Document. GFMA, the Institute of International Finance (IIF), and the International Swaps and Derivatives Association (ISDA), provide comments to Bank for international Settlements (BIS) on the second phase of the development of the revised Pillar 3. The Global Foreign Exchange Division (GFXD) of GFMA and The International Swaps and Derivatives Association (ISDA) provide comments to the FSB on its consultation on GovernanceArrangements for the Unique Transaction Identifier (UTI). GFMA, the Clearing House, and IIF provide comments responding to FSB’s consultation on resolutionfunding strategies. GFMA has released its Financial Data Handling Principles for Banks and Non-Banks as a voluntary set of principles drawn from international best practices. NIST Cybersecurity Framework and the European Union’s General Data Protection Regulation (GDPR).

The groups believe the FTT would have unprecedented extraterritorial impacts, contrary to G20 principles, and would harm economic growth. This GFMA letter sets out a summary of U.S. financialregulatory measures that have recently been proposed or are in theimplementation process, which may have an extraterritorial impact on non-USmarkets – particularly Asian markets. Thesemeasures are generally mandated by the Dodd-Frank Wall Street Reform andConsumer Protection Act (Dodd-Frank Act), enacted in 2010 by the U.S. The industry is strongly supportive of a federated Global LEI System, and the benefits to financial stability that it would provide. For this goal to be met, the ROC must make important decisions to both Mutually Accept pre-LEIs, as well as develop robust standards for pre-LOUs, immediately.

The Global Foreign Exchange Division of GFMA provides comment on the consultative document on margin requirements for non-centrally-cleared derivatives issued by the Basel Committee on Banking Supervision (BCBS) and the International Organization of Securities Commissions (IOSCO) joint Working Group on Margin Requirements (WGMR). GFMA provides comments to the European Commission (EC) on the EC Stakeholder Consultation on the implementation of a data and transaction reporting framework for wholesale energy markets. In July, GFMA sent a letter to the Agency for the Cooperation of Energy Regulators (ACER) regarding its REMIT Data Collection Public Consultation Paper. In this correspondence, GFMA responds to the EC’s additional questions and offers details on where GFMA’s position changed since July. GFMA emphasizesthat the concerns raised in this letter are not exclusive to the CME and theProposed Rule, but apply generally to any designated clearing organization (DCO)that seeks to require all swaps cleared with it to be reported to a specific swapdata repository (SDR).

September 2022 Digital Finance Monthly Update

The Association for Financial Markets in Europe (AFME) welcomes this consultation paper from the Committee of European Securities Regulators on standardisation and exchange trading of OTC derivatives, and the opportunity to respond. As many of the current proposals may have a significant impact upon the operation of the global FX market it is vital that the potential consequences of regulatory action are fully understood and that new regulation improves efficiency and reduces risk, not vice versa. We are aware of the joint response to this paper being submitted by AFME, BBA, ISDA, ASSOSIM and the NSA and are supportive of the views set out in their paper. We have sought here to focus on responses to the points within the consultation paper that are of particular relevance to the FX market. FIA’s mission is to support open, transparent and competitive markets, protect and enhance the integrity of the financial system, and promote high standards of professional conduct. As the principal members of derivatives clearinghouses worldwide, FIA’s member firms play a critical role in the reduction of systemic risk in global financial markets.

The Associations submit comments on the need for the ROC to make important decisions at the their upcoming (11-12 June) meeting on the Mutual Acceptance for pre-LEI identifiers, as well as the development of standards for pre-Local Operating Units (LOUs). GFMA and the Institute of International Finance (IIF) provide comments to the Co-Chairs of the Basel Committee on Banking Supervision (BCBS) Working Group on Liquidity in response to the Consultative Document on “Liquidity coverage ratio disclosure standards”. GFMA summarises the key concerns and comments raised by GFMA members with respect to Appendix III of the Discussion Paper entitled “Client asset protection in resolution.”  Specifically, GFMA’s comments focus on the definition of client assets and on client asset segregation rather than on resolution tools outlined in the Discussion Paper. This letter starts with a reiteration of the major themes the industry raised at the workshop, followed by detailed discussions of our comments on the Phases 2 and 3 templates. However, the industry feels an articulation of supervisory standards for the definition of effective notional that will allow firms to reliably and consistently apply NIMM to the vast majority of derivative structures is important.

GFMA FX Division Response to South African Regulators on Margin Requirements – May 2019

We serve corporates, institutional investors and governments from trading floors in almost 80 countries. The strength of our underwriting, sales and trading and distribution capabilities span asset classes (Commodities, Equities, Rates, Spread Products) and currencies, providing us with an unmatched ability to meet the needs of our clients. Try our interactive tool to explore global markets and browse content specific to your target markets. S&P Global, provides the data that powers the globally recognized Dow Jones Sustainability Indices, S&P 500 ESG Index, and others in the S&P ESG Index Series. Each year, S&P Global conducts the Corporate Sustainability Assessment, an ESG analysis of over 7,300 companies.

This is to ensure a consistent standard across participants and maintain confidence in the marketplace. GFMA provides comments to the Office of Gas and Electric Markets (Ofgem) in repsonse to Ofgem’s consultation on proposed penalties statement and procedural guidelines under the Regulation on Wholesale Energy Markets Integrity and Transparency (REMIT). GFMA provides comments to the European Union (EU) on EU’s legislative proposal for the regulation of benchmarks (the Regulation). GFMA agrees with the BCBS that securitisation, prudently deployed and sensibly regulated, can make a very positive contribution to a bank’s overall liquidity management. GFMA requests that the Committee engage in a similar way with the industry in this, relatively new, context of the NSFR in order to achieve a treatment of high quality securitisation that accurately recognises its strong credit performance through and since the financial crisis as well as its benefits as a self-liquidating funding tool for the real economy. GFMA welcomes the development of these Principles by IOSCO as a step towards ensuring that key oil market benchmarks are subject to robust, consistent, transparent and sound practices. Moreover, we fully endorse IOSCO’s review of the implementation of the Principles to ensure the smooth functioning and transparency within these markets.

The findings of this survey will be helpful to institutions to benchmark against their peers and also to help inform future policymaking. GFMA as part of a joint industry letter provides comments to the Office of the Comptroller of the Currency, Federal Housing Finance Agency, Federal Reserve, Farm Credit Administration and Federal Deposit Insurance Corporation regarding proposed rules extending the Phase 5 and 6 compliance dates for regulatory initial margin. Singapore’s three largest banking groups – DBS Group, OCBC, and UOB, are seen as stable stock market investments. They routinely make up the top three leading companies by market capitalization and rank consistently among the most valuable brands in Singapore. Despite the global economic turmoil, these three banks were forecast to turn profits in 2023, being among the biggest beneficiaries of rising interest rates in the Asia-Pacific region. Singapore is a leading financial hub in the Asia-Pacific region, and its financial sector makes up the third-largest sector of its economy.