CFTC announced members of the new Climate-Related Market Risk Subcommittee of the Market Risk Advisory Committee (MRAC). The subcommittee was established to provide a report to the MRAC that will identify and examine the climate-related financial and market risks. Among others, the Subcommittee will work on issues related to disclosures, reporting, and stress testing of climate risks.
Bob Litterman, the founding partner and Risk Committee Chairman of Kepos Capital, will chair this 35-member Climate Subcommittee. The Climate Subcommittee comprises experts from the financial markets, the banking and insurance sectors, the agricultural and energy markets, the data and intelligence service providers, the environmental and sustainability public-interest sector, and the academic disciplines singularly focused on climate change, adaptation, public policy, and finance. Topics and issues this Subcommittee may consider include, but are not limited to, the following:
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BIS published the September issue of the Quarterly Review, which contains special features that analyze the rapid rise in equity funding for financial technology firms, the effectiveness of policy measures in response to pandemic, and the evolution of international banking.
The Basel Committee for Banking Supervision (BCBS) met in September 2021 and reviewed climate-related financial risks, discussed impact of digitalization, and welcomed efforts by the International Financial Reporting Standards (IFRS) Foundation to develop a common set of sustainability reporting standards
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The European Commission (EC) published the Delegated Regulation 2021/1527 with regard to the regulatory technical standards for the contractual recognition of write down and conversion powers.
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The Single Resolution Board (SRB) published a Communication on the application of regulatory technical standard provisions on prior permission for reducing eligible liabilities instruments as of January 01, 2022.
The Australian Prudential Regulation Authority (APRA) published a new set of frequently asked questions (FAQs) to provide guidance to authorized deposit-taking institutions on the interpretation of APS 120, the prudential standard on securitization.
The French Prudential Control and Resolution Authority (ACPR) published the corrective version of the RUBA taxonomy Version 1.0.1, which will come into force from the decree of January 31, 2022.
The European Commission (EC) announced that Nordea Bank has signed a guarantee agreement with the European Investment Bank (EIB) Group to support the sustainable transformation of businesses in the Nordics.
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