Europe

Market Infrastructure

Industry Bodies Urge EU, UK to Link Emissions Trading Systems

By Sanday Chongo Kabange | 19/04/2021

Linking the systems ahead of COP 26 would reaffirm the UK and EU as climate leaders and demonstrate strong advocacy for international carbon markets.

Big Picture

ECB Calls for Common Standards for DLT Use in Post-Trade

By Sanday Chongo Kabange | 19/04/2021

Common protocols and standards are needed to improve the use of DLT in post-trade processes and avoid market fragmentation.

ESG / Sustainability

‘Brown’ Investments Risk Larger Losses from Transition Shocks

By ESG Investor | 16/04/2021

ESMA has found that green funds are less exposed to systemic network risks, while brown funds are more exposed to transition shocks.

Fintech / Regtech

Privacy Cited as Top Concern for a European CBDC

By Sanday Chongo Kabange | 15/04/2021

ECB survey respondents cited privacy as the top priority feature for a potential digital euro, followed by security and usability across the euro area.

Enforcement

BaFin Faces Criminal Probe Over Wirecard Response

By Sanday Chongo Kabange | 14/04/2021

BaFin has been under fire since mid-last year for failing to properly respond to multiple red flags signalling an accounting fraud at Wirecard.

Securities / Derivatives

FCA to Consult on Stronger Protections for SPAC Investors

By Editors | 06/04/2021

The consultation will consider enhanced disclosure requirements, a minimum market cap and a redemption option for investors.

Market Infrastructure

FCA, BOE Urge Switch to SONIA in GBP Non-linear Derivatives

By Editors | 05/04/2021

The FCA and BOE have asked liquidity providers and interdealer brokers to adopt SONIA in quoting conventions for GBP non-linear derivatives from 11 May.

Enforcement

FCA, BOE Set Out Priority Areas for LIBOR Transition

By Manesh Samtani | 30/03/2021

Supervisory tools may be used to address insufficient progress and poor risk management or governance.

Market Infrastructure

FMSB Issues Draft Standard on ‘Appropriate’ Use of Term SONIA

By Manesh Samtani | 28/03/2021

The main use cases where a robust rationale may be identified for using Term SONIA in lending products include trade finance, working capital, and Islamic finance products.