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Regulation

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  • The Bank of England has defended its role in the Libor scandal and has published a chain of e-mails between itself, the U.S. Federal Reserve and the British Bankers’ Association, which shows that the BoE put pressure on the association to reform the benchmark in 2008.
  • On June 29, the U.S. Commodity Futures Trading Commission published a proposed policy statement and interpretive guidance addressing the extraterritorial reach of the swaps provisions of the Commodity Exchange Act that were enacted by Title VII of the Dodd-Frank Act.
  • The Australian Prudential Regulation Authority has changed its stance on the treatment of collateral supporting derivatives between an issuer of covered bonds and its special purpose vehicle.
  • Société Générale will repay over USD11 million to clients of its wealth management division after the Hong Kong Securities and Futures Commission reprimanded the dealer for allegedly not disclosing certain fees and charges in secondary market transactions of over-the-counter bonds, options and structured notes.
  • China’s National Association of Financial Market Institutional Investors is looking to bolster the creation of new credit risk management products via a new financial derivatives professional committee.
  • Japan’s Financial Services Agency could require dealers to store trade data, since a viable trade repository will not be ready when mandatory clearing starts later this year.