When the FCA banned ex-UBS trader Arif Hussein for inappropriately messaging colleagues regarding the manipulation of rate submissions, the industry was understandably focused on how they could avoid such exposure and future potential risk. A combination of withdrawal from submissions, where possible, and beefed-up procedures followed. The regulatory community focused on replacing flawed benchmarks, and […]
The gap between yields on US and German 10-year government bonds has reached its widest level in almost three decades. Is this trend at an inflection point or will we see further decoupling between the US and other developed markets? Markets expect the Federal Reserve to deliver at least two additional interest rate hikes in […]
The European Securities and Markets Authority (Esma) has published its final report on the draft regulatory and implementing technical standards (RTS/ITS) relating to the EU’s Benchmarks Regulation. The rules are intended to ensure accuracy and integrity in benchmarks used in the EU for financial purposes. Those affected include producers and administrators of such benchmarks, also […]
The intention of the Federal Reserve Board to raise rates is clear, but it is still a question of when. In her annual speech at the Jackson Hole Summit in Wyoming, Fed chair Janet Yellen said the data is moving in the right direction and she is philosophically inclined to increase interest rates. Nevertheless, she […]
Neil Woodford (pictured), manager of the CF Woodford Equity Income Fund announced that he is planning to cut his exposure to HSBC due to growing concerns about the extent of fines imposed by regulators. Woodford added HSBC only months earlier, in May, it accounted for 2% of its portfolio and was the first UK bank […]
The UK Treasury has taken control of LIBOR away from the British Bankers’ Association and handed it to New York Stock Exchange following the rate rigging scandal.
Supervision of the scandal hit Libor interest rate could move to Paris under plans being drawn up by the European Commission, dealing a potential blow to London’s financial pre-eminence.
The UK FSA was aware that Libor rigging could pose a ‘significant issue’ to the UK’s banking system as early as 2008, an internal report has shown.
Laurence Lieberman, a partner in the financial disputes group at international law firm Taylor Wessing, says that banks should prepare themselves for forced participation in setting Libor rates.
UK bank RBS has been fined a collective £391m for its role in the Libor scandal, with the UK FSA’s investigation finding over 200 “inappropriate” rate submissions.
Barclays has threatened “substantial” job cuts in its London investment bank, ahead of a review of its operations by new chief executive Antony Jenkins.
Two executives at Royal Bank of Scotland are reportedly under pressure to step down as US and UK regulators are concerned about the culture of the investment banking division at the bank.