The EU has a plan for adopting stricter capital requirements and better corporate governance for banks and investment firms (the so-called ‘CDR IV’ project). Despite the fact it only concerns financial institutions, this projected Directive could indirectly heavily impact non-financial corporates.
In light of the huge losses caused by a UBS trader, AFTE's Chairman asks if regulators have the will and means to adopt measures necessary to end such fraud and restore confidence in the banking profession.
This article addresses the problems of the way in which ESMA plans to apply the exemption granted to corporate treasurers for dealing in OTC type derivative products. Over three and a half years after the start of the long-drawn out financial crisis, the regulators have still not delivered this …
Standardisation is becoming ever more important in the current economic climate. It has, for example, allowed banks to focus more and more on the financial services they offer rather than competing in the way information exchange is set up with each particular client.
Whether we like it or not, in future the hedging of financial risks may never be the same again. In one sense, the dilemma is in choosing between significantly better hedging or trading terms - but with potential cash volatility and higher administrative cost in exchange, and poorer terms with no …
A review of the progress of IFRS 9, looking in particular at its impact on accounting and valuation - and comparing it with the approach once taken by IAS 39.
Hedging is a complex and difficult business, ill understood by markets and badly served by current accounting practices. It doesn't help that hedging usually involves the use of derivative financial instruments, long regarded as the dark science of finance.