IOSCO published the work program for 2020. The work program calls for IOSCO to continue its efforts on the five priorities for 2019 while undertaking work on a new priority concerning the rising levels of corporate debt and leveraged loans and the potential resulting risks in capital markets. The priorities from 2019 that will continue to be priorities in 2020 constitute work that relates to crypto-assets, artificial intelligence and machine learning, market fragmentation, passive investing and index providers, and retail distribution and digitalization. The work program elaborates on the timelines of the key deliverables in these areas.
For corporate debt and leveraged finance, IOSCO will focus its attention on the risks created by the current origination practices, the chains of intermediation in the corporate debt market, and the associated conflicts of interest. To this end, IOSCO will publish a report on conduct-related issues in the leveraged loans and collateralized loan obligation markets. Other important workstreams include those related to asset management, particularly in the areas of liquidity risk management and leverage. Additionally, IOSCO will maintain its focus on systemic risk in capital markets across its different workstreams and continue to collaborate and engage effectively on this topic with FSB and the other standard-setting bodies. IOSCO will further its efforts in fintech and sustainable finance, including through the Sustainable Finance Network and the Fintech Network, and will pursue matters of special importance to growth and emerging markets. The work program also refers to other important workstreams that are being carried out by the eight Policy Committees of IOSCO.
Keywords: International, Securities, Work Program, Crypto Assets, Market Fragmentation, Corporate Debt, Leveraged Lending, Regtech, Fintech, IOSCO
Previous ArticleFSI Survey Examines Policy Responses to Fintech Developments
The three European Supervisory Authorities (ESAs) issued a letter to inform about delay in the Sustainable Finance Disclosure Regulation (SFDR) mandate, along with a Call for Evidence on greenwashing practices.
The International Sustainability Standards Board (ISSB) of the IFRS Foundations made several announcements at COP27 and with respect to its work on the sustainability standards.
The International Organization for Securities Commissions (IOSCO), at COP27, outlined the regulatory priorities for sustainability disclosures, mitigation of greenwashing, and promotion of integrity in carbon markets.
The European Banking Authority (EBA) issued a statement in the context of COP27, clarified the operationalization of intermediate EU parent undertakings (IPUs) of third-country groups
The Office of the Superintendent of Financial Institutions (OSFI) published an annual report on its activities, a report on forward-looking work.
The Australian Prudential Regulation Authority (APRA) finalized amendments to the capital framework, announced a review of the prudential framework for groups.
The Bank for International Settlements (BIS) Innovation Hubs and several central banks are working together on various central bank digital currency (CBDC) pilots.
The European Central Bank (ECB) published the results of its thematic review, which shows that banks are still far from adequately managing climate and environmental risks.
Among its recent publications, the European Banking Authority (EBA) published the final standards and guidelines on interest rate risk arising from non-trading book activities (IRRBB)
The European Commission (EC) recently adopted regulations with respect to the calculation of own funds requirements for market risk, the prudential treatment of global systemically important institutions (G-SIIs)