The Top Regulatory News Stories for This Week

EMIR: BaFin Publishes Forms for Financial Counterparties Reporting Disputes

The German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht) (BaFin) has published a form for reporting disputes for parties which qualify as financial counterparties under the European Market Infrastructure Regulation (EMIR). Financial counterparties will be required to report disputes relating to an OTC derivative contract, its valuation or the exchange of collateral for an amount or a value higher than EUR 15 million and outstanding for at least 15 business days. Links (in German):

• BaFin: EMIR – Mitteilungen an die BaFin
• Dispute reporting form (Excel document)

Debate on ‘Living Wills’ for Clearers Kicks Off

The European Commission has started consulting on how to deal with the default of a clearing house without having to use money from taxpayers. Financial News: Debate on ‘living wills’ for clearers kicks off.

Regulation Descends into a Kafkaesque Bureaucracy

If you were in any doubt about the volume and complexity of financial reform in Europe, just try typing “Esma work programme 2014” into Google and see what comes up. Financial News: Regulation descends into a Kafkaesque bureaucracy.

Industry Concerned Over MiFID II Agreement to Regulate Algorithms

The latest agreements reached in negotiations for MiFID II will require firms to have their algorithms authorised by regulators and tested, but market participants are doubtful the plans will succeed. The Trade News article: Industry concerned over MiFID II agreement to regulate algos

EU Agrees Preliminary Deal to Rein in Speed Traders

The European Union has reached a tentative deal to rein in the type of ultra-fast trading that accelerated a plunge in Wall Street stocks in 2010 and set regulatory alarm bells ringing across the world.

• Finextra: Europe nears agreement on HFT rules
• Reuters: EU agrees preliminary deal to rein in speed traders.

Dumb and Dumberer?

Not surprisingly, the recent political elections in Germany have brought the question of financial transaction tax (FTT) back to the fore. Basically, the Social Democrats (SPD) are making it a condition of participation in a European banking union. Finextra: Dumb and dumberer?

A Plea for Certainty in Regulation

Clear and unambiguous rules have the potential to satisfy advocates of sterner regulation, as well as regulated firms. Risk.net: A plea for certainty in regulation.

The Dangers of Playing Politics with Banking Reform

On the evidence of the past few weeks in the US, Henry Kissinger was probably being generous when he noted that “90% of politicians give the other 10% a bad name”. Financial News: The dangers of playing politics with banking reform.