While watching Too Big to Fail last night on HBO I was reminded of an article I read last week titled “Clearing Houses ‘Would Not Have Prevented Financial Crisis’”. Basically, the article’s point was that while there have been efforts made since the financial crisis to prevent future ordeals there hasn’t been enough focus on
Derivatives
Proposed Derivatives Rules: Regulators Going Too Far?
Guest Contributor: John Jay, Senior Analyst, Aite Group The name of the game is derivatives regulation, and financial regulators are asking end users to ante up. While pursuing risk management activities, non-financial firms may be subjected to posting higher collateral requirements with their financial counterparties (i.e., banks) than are currently necessary. In part, these firms
Clearing and Settlement
The Mysterious Role of the Clearinghouse
The idea of the clearinghouse is fairly simple. A clearinghouse acts as a middle man who will insure a financial transaction between two market parties. This definition may be simple enough, but in reality a clearinghouse is far more complex and, if it were to fail, the results could be disastrous for the economy. For
Dodd-Frank
Dodd-Frank Deadliness Likely to Extend
Given the tight one-year deadline, it comes as no surprise that the SEC, the CFTC and various industry trade associations are already talking about extensions to the fast approaching July 21st deadline to implement Dodd-Frank. On April 8th, the SEC released a statement saying that they are likely to extend the deadline for mid-sized investment
Compliance
Dodd-Frank IT Implications for Investment Firms: Disaster Recovery, Archiving
Guest Contributor: Mary Beth Hamilton, Director of Marketing, Eze Castle Integration At 800+ pages, the Dodd-Frank Wall Street Reform and Consumer Protection Act is far reaching and requires a serious time commitment to comb through. As the deadline approaches, investment firms are increasingly looking at the technology requirements outlined in the regulation and the implications
Compliance
Dodd-Frank and IT Departments – A Super Team?
Since being signed into law this past July, Dodd-Frank has created many challenges for the Financial Services Industry. New requirements and compliance rules will be affecting nearly every sector of the industry from data management to proprietary trading, but what will the impact be on a firm’s IT department? IT departments are usually asked to
Compliance
Opportunities Within Regulatory Change
2011 is shaping up to be remembered as the year of regulatory change. While Dodd-Frank, the Volcker Rule and other regulatory notices have been in the pipeline for months, 2011 will be the year that most of these regulations are put into practice. While many firms have been struggling or stressing over the fact that
Compliance
The End of the EU Hedge Fund?
2011 will be remembered as the year of rules and regulations in the Financial Services Industry. Thanks to the Dodd-Frank Bill, many industry regulators will be handing down numerous sanctions this year to Wall Street and beyond. Basel III will be hitting banks, stricter debit card rules will be applied to retailers, derivatives operations and
Derivatives
Technology Cuts: Bad News for the CFTC
So what would happen if the CFTC ran out of room to store data? Well we just might find out this October when, according to Scott O’Malia, a commissioner at the CFTC, they are on a path to do just that! The CFTC’s technology budget, like all government agencies, has been frozen for 2011 at
Compliance
Streamlining to Achieve Transparency in the New OTC World
Ever since the passing of the Dodd-Frank bill, companies have been thinking about (or at least they should be thinking about) how they will come up with a cost effective solution to keep them compliant under the new regulations. Many software providers have been trying to work out these solutions on their own in order
