24 February 2017

44975

Retired Member

2,372Posts 7,973,439Views 2,602Comments
Finextra community

Financial Services Regulation

This network is for financial professionals interested in staying up to date on financial services regulation happening anywhere in the world. CFOs, bankers, fund managers, treasurers welcome.

IOSCO report: regulators’ supervisory powers need enhancing

04 April 2014  |  1636 views  |  0

The International Organisation of Securities Commissions (IOSCO) has published a consultation report on a comparison and analysis of prudential standards in the securities sector.  The report highlights similarities, differences and gaps among the different regulators’ frameworks.   The report highlights issues in the following areas where regulators may consider whether their supervisory practices are adequate to oversee and mitigate the risk posed by:

·         regulatory scope

·         risk capture;

·         components of capital;

·         comparing prudential standards in different jurisdictions;

·         the use of internal models; and

·         group entities.  

The outcome of the report’s comparative analysis highlights prudential regulatory and supervisory areas that might be considered, particularly to:

•        identify opportunities for regulatory capital arbitrage that might (or actually have) materialised from the differences in prudential regulations across jurisdictions; and

•        account for the increasing use of internal models and the commensurate increase in infrastructure, systems and controls that are necessary to help ensure that firms are not undercapitalised compared to the risks posed by their positions and activities.  

The report includes specific questions on which IOSCO is seeking comments.   

Comments are requested by 10 June 2014.  

Related link:

http://www.iosco.org/library/pubdocs/pdf/IOSCOPD438.pdf

Comments: (0)

Comment on this story (membership required)

Latest posts from

Retired's profile

job title
location
member since 2014
Summary profile See full profile »

Retired's expertise

Member since 2009
2372 posts2,602 comments
What Retired reads

Who's commenting on Retired's posts

Deepthi Rajan
Melvin Haskins
Ketharaman Swaminathan
Alex Aleksandrovski
Tayloe Draughon
João Bohner
Steven Hatton
Kunal Patel
Graham Seel
Melba Foggo
Nikhil Thadani
Richard Crookston