The UK’s upper house of parliament, the House of Lords, has called on UK finance minister Rishi Sunak to establish a structured dialogue with the EU to support cross-border financial services and to manage any future regulatory divergence.

The final draft on regulatory technical standards (RTS) has been published on the new internal model approach (IMA) under the Fundamental Review of the Trading Book (FRTB), by the European Banking Authority (EBA) to smooth its implementation. 

Hong Kong regulators consult on adding eight additional entities to the Financial Services Providers (FSP) list under for the over-the-counter (OTC) derivatives clearing regime.

The European Securities and Markets Authority (ESMA) has launched a consultation on implementing draft technical standards covering reporting to trade repositories (TRs), procedures to reconcile and validate the data, data access by the relevant authorities and the registration of the TRs.  

National competent authorities should not prioritise enforcing tick-size rules related to trading by systematic internalisers (SIs), the European Securities and Markets Authority (ESMA) said in a statement.

Designated senior managers at financial firms are responsible for identifying which employees have to travel to work, but the overall number of employees onsite should be far smaller than the number normally required for business as usual, said the UK’s Financial Conduct Authority (FCA).

The three prudential federal regulators told banks they can delay the forward provisioning element of the current expected credit loss (CECL) accounting standard for two years due to the economic impact of the Covid-19 pandemic. 

Regulators have underestimated the risks posed by leverage in trading books and in non-banks as well as by interconnectedness and should investigate this area once the current crisis passes, wrote a former US Treasury official.

Measures taken by central banks need to travel “the last mile” so they reach individuals and businesses and this bridge is not yet in place, warned Agustín Carstens, general manager at the Bank for International Settlements (BIS).

EU supervisors are relaxing IFRS 9 accounting standards so that European banks will not have to engage in harsh forward provisioning in the face of temporary payment stops by borrowers impacted by the Covid-19 pandemic.