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In my recent blog, I pointed out that regulations are constantly changing, becoming more complex.

Global banks will find that proving transparency across multiple products to the regulators is a big challenge. All tier one banks operate with at least some legacy systems and some manual data sources, and can’t deliver all the required information in real time.

But transparency is key. Post-2008 liquidity crisis, global regulators are prescribing a series of new, more in-depth, regulatory returns.

In Europe, most banks have already implemented Basel II. The next step is complying with Basel III, which has significant add-ons compared to its predecessors – including much higher capital and liquidity requirements – specifically shining a torch on the so called global systemically important financial institutions (GSiFis). In the US, the Basel III compliance process is further complicated by the concurrent implementation of the Dodd-Frank financial-overhaul legislation.

Regulations these day

With House Committee passing a slew of rules on May 4, 2011 to postpone the implementation of derivatives section of the DFA by 18 months, Seila Bair’s decision to leave the FDIC on July 8, Geithner’s warning of a financial crisis if the legal debt limit is not raised, many are wondering if the U.S. economy is heading back into recession and will regulators be ready to prevent it.

These and other concerns were the main focus of the Regulatory Risk conference held in New York on May 9-10, 2011.  

New proposed rules for Asset Backed Securities have been released by the US regulatory agencies for comment. These rules are aimed at addressing the way in which banks securitize their loan portfolios and are a response to one of the main causes for the credit crisis in 2008.

What lies ahead for banks and investors?

Read more at this link

“You could be a meteorologist all your life and never see something like this. It would be... the perfect storm.” So goes a classic line in one of the few great Hollywood fishing epics. The Perfect Storm finds fisherman George Clooney and his shipmates venturing out into dangerous waters and being trapped between two momentous and powerful storm fronts. Asset managers may well empathise.

On one front, ever more powerful regulation is blowing in, growing as it does. This regulation comes with eve

On the surface at least, it’s hard to take away positives in the wake of the financial crisis. Yes, it taught us that we have to manage risk better, improve processes and become more transparent. But it’s the regulators globally that seem to have taken these lessons closely to heart.

With some banks still struggling to conform to Basel II requirements, Basel III is being hotly debated. It will force banks to hold more capital, and many argue that this will bring the end of ‘cheap money’. In the U