The next recession is coming into view but probably will not arrive in the coming year as many seem to fear.
PRA and FCA have delayed the issuance of final direction, including the final template, on reporting of private securitizations, from January 15, 2019 to the end of January 2019.
BCBS published the final framework for market risk capital requirements and its work program for 2019. Also published was an explanatory note to provide a non-technical description of the overall market risk framework, the changes that have been incorporated into in this version of the framework and impact of the framework.
EBA published answers to 13 questions under the Single Rulebook question and answer (Q&A) updates for this week.
Global leverage has been rising as a share of GDP over the past decade. This is a growing concern, as questions around sustainability loom large in some pockets. Also, although global financial conditions remain largely accommodative, debt servicing costs will continue rising over the next year after an extended period of low borrowing costs, putting pressure on balance sheets.
PRA published the consultation paper CP1/19 that is proposing changes to the supervisory statement (SS17/13) on credit risk mitigation.
The outstanding high-yield corporate bonds of U.S.-domiciled issuers fell from a year earlier for an eighth consecutive quarter in 2018's final three months. Fourth-quarter 2018's 4.6% year-over-year drop lowered the outstandings of U.S. corporate high-yield bonds to $1.221 trillion, which was 9.1% under fourth-quarter 2016's current zenith of $1.344 trillion.
FASB issued a question-and-answer (Q&A) document that addresses particular issues related to the weighted average remaining maturity (WARM) method for estimating the allowance for credit losses.
FED published the updated reporting instructions and supplemental instructions for the FR Y-9C reporting form. The reporting frequency for FR Y-9C is quarterly, as of the last calendar day of the quarter.
PRA published the policy statement PS1/19 that provides feedback to responses to the consultation paper CP22/18 titled "Liquidity reporting: FSA047 and FSA048" and the proposal in CP16/18, which intended to correct the level of consolidation of the PRA110 reporting requirements.
FED proposed to modify company-run stress testing requirements to conform with the Economic Growth, Regulatory Relief, and Consumer Protection (EGRRCP) Act.
Moody's Analytics Wins CECL Category Award in 2019 Chartis RiskTech100
ESMA issued the final regulatory technical standards (RTS) for cooperation between competent authorities and ESAs under the Securitization Regulation (2017/2402).
ESAs published a joint report providing a comparative analysis of the innovation facilitators (that is, regulatory sandboxes and innovation hubs) established to date within the EU.
OCC published in the Federal Register revisions to the Community Reinvestment Act (CRA) regulations that became effective January 01, 2019.
European Council published final compromise text on the proposal for a regulation amending the Capital Requirements Regulation or CRR (Regulation 575/2013) regarding the minimum loss coverage for non-performing exposures (NPL Regulation).
The world is now incapable of shouldering a 10-year Treasury yield above 3%. A remedial decline by the U.S.' benchmark interest rates will be critical to rejuvenating global business activity and stabilizing financial markets. Otherwise, the corporate earnings outlook might deteriorate by enough to sink the market value of U.S. common stock by another 20% and swell the now 552 basis point high yield bond spread to 800 bp.
Through this study, we illustrate the challenges for modelers under CECL and assess the impact of the new accounting standards. 2
Moody's Analytics outlook for Japan suggests GDP will grow near its potential pace, which hovers from 0.5% to 1%.
Vietnam's expansion has charged ahead despite the recent financial and trade turmoil inflicting pain across Southeast Asia's emerging markets Moody's Analytics estimates output growth at 6.7% in 2018.
In this paper, we examine regional patterns of economic growth across China's 31 province-level administrative divisions, comparing changes in industrial structure, productivity growth and demographics.
Out of all the data items and instructions that came into force recently, PRA published several data items and instructions to reflect policy effective from January 01, 2019.
BaFin published a new general order, which regulates how newly issued shares in cooperative banks with the permission of BaFin can be classified as common equity tier 1 (CET 1) instruments.
BaFin published an “interpretative decision” on the evaluation of amounts recoverable from reinsurance contracts and special purpose vehicles (SPVs) under Solvency II.
PRA updated the National Specific Templates (NSTs), internal model output templates, and LOG files to reflect the December 31, 2018 effective date for reporting under Solvency II.
EC highlights that the Securitization Regulation, which comes into effect on January 01, 2019, creates common rules and sets the criteria for simple, transparent and standardized (STS) securitization in the EU.
FED issued a proposal to extend for three years, with revision, the complex institution liquidity monitoring report (FR 2052a; OMB No. 7100-0361). FR 2052a is used to monitor the overall liquidity profile of certain FED-supervised institutions.
US Agencies (FDIC, FED, and OCC) jointly issued final rules that adopt without change the interim final rules issued in August that expanded the number of insured depository institutions and U.S. branches and agencies of foreign banks eligible for an 18-month on-site examination cycle, rather than a 12-month cycle.
Among the FED information collections that have been under review, the supplemental instructions for Capital Assessments and Stress Testing (FR Y-14Q) have been updated this month.
The Central Bank of Bahamas proposed to implement liquidity coverage ratio (LCR) and net stable funding ratio (NSFR) in Bahamas.