An interesting article in Risk magazine, highlighting the continuing uncertainty over Basel III implementation and its integration with concurrent regulatory reforms. The European version of Basel III, the Capital Requirements Regulation (CRR), contains a carve-out to the requirement under Basel III to levy a Credit Valuation Adjustment (CVA) charge in relation to the counterparty risk […]

Following the conclusion of trialogue negotiations between the EU Parliament, EU Council and EU Commission in March over the implementation of Basel III in the EU, on 16 April 2013 the Parliament issued a press release announcing the adoption of the legislative package known as CRD IV, which will implement Basel III within the EU. […]

For those involved in the preparation of RRPs, here is a link to an article on our sister site regarding an EBA consultation paper on asset encumbrance.  Given the potential effect asset encumbrance arrangements can have on a firm’s resolvability, this is the type of thing that may well come across your desk in the […]

Introduction On 26 March 2013 the European Banking Authority (EBA) published a consultation paper on Draft Implementing Technical Standards (ITS) on Asset Encumbrance Reporting under the draft Capital Requirements Regulation (CRR).  The deadline for comments is 24 June 2013. The EBA believes that increasing levels of asset encumbrance may pose risks to individual institutions and/or […]

On 21 March 2013, the EU Commission published an FAQ on the CRD IV, the EU implementation of Basel III.  Have a read, it’s a great introduction.

On 21 March 2013, the EU Commission published a statement by Michel Barnier confirming that agreement in trialogue between the EU Parliament, EU Council and EU Commission had been reached over the implementation in the EU of Basel III (CRD IV). It is thought that the EU Parliament will vote on the proposal at its […]

On 22 February 2013, the FSA published a refreshed statement regarding the Capital Requirements Directive (“CRD IV”).  It notes that, in accordance with Basel III, CRD IV had an implementation date of 1 January 2013.  Unfortunately, this deadline has been missed due to the continued tri-logue process between the EU Commission, EU Parliament and EU […]

Bloomberg is reporting that EU banks may have to be in a position to comply with the Liquidity Coverage Ratio (LCR) by 1 January 2018, a year earlier than required under Basel III. As reported last month on this blog, the Bank for International Settlements (BIS) had agreed to relax some of the restrictions around […]

On 7 January 2012, the EU Commission published a statement by Michel Barnier welcoming the agreement of the Basel Committee to the revision of the Liquidity Coverage Ratio (LCR) and its gradual phasing-in between 2015 and 2019. The Commission’s approach to liquidity issues within the context of CRD4 is to initiate a reporting period at […]