Highly liquid, moderately liquid, less liquid, and illiquid. Classifying securities in one of those four buckets for the first time under the US Securities and Exchange Commission’s new liquidity rule will force compliance and risk managers at US mutual funds and exchange-traded funds to implement new operational procedures by next year. “Fund managers will have […]
MiFID II: Elaborate Exercise in Repapering
The second incarnation of the European Markets in Financial Instruments Directive (MiFID II) adds a whole new meaning to the song lyric “Getting to know you” as financial firms and their clients tackle the new rules of onboarding. For financial firms the increased amount of required client data and documentation will prompt changes to their […]
SEC Reporting Rules: Fund Managers’ Recon Challenge
The US Securities and Exchange Commission uses the word modernization when speaking of its new reporting rules for registered investment fund advisers, but that’s not how asset managers see things. They dread the approaching tsunami, according to panelists and attendees at a recent TSAM North America fund management event held in New York. Fund managers […]
(Update) Bloomberg’s FIGIs: Global Accreditation for ID Codes Next?
Editor’s Update: The ballot concerning the FIGI becoming an ISO standard has been cancelled. On July 14, FinOps Report received confirmation from Steve Stevens, executive director of X9. “Bloomberg had requested that X9 ask the TC68 committee to withdraw the ballot from voting,” he said. “The request was agreed to by the X9 and TC68 withdrew the ballot. Since the […]
Compliance Officers: Uniform CFTC and SEC Rules?
What possible difference could a few words make? Apparently a lot for chief compliance officers of large swap dealers, fund managers, and clearing firms. They must be breathing a sigh of relief now that the Commodity Futures Trading Commission has proposed to harmonize the rules for CCOs with those of the Securities and Exchange Commission. […]
Bloomberg Takes on DTCC in LEI Issuance (Updated)
Editor’s Note (6/2/2017): A spokesman for DTCC has informed FinOps Report that effective June 1, 2017, the GMEI Utility has reduced its fees to US$100 to register an LEI and US$80 to renew an LEI. For those who have questions on how the GMEI Utility can cut its fees so dramatically while meeting the GLEIF’s cost-recovery model, here is what […]
Numbering Agencies Invest in New OTC ISIN Bureau
Swap dealers and other financial market players can now rest assured that a new numbering agency for over-the-counter derivatives contracts will have sufficient funding to be launched just in time to meet the reporting requirements of the second incarnation of Europe’s Markets in Financial Instruments Directive (MiFID). That doesn’t mean they will be entirely satisfied with who the Association […]
AML: Making Suspicious Activity Reports More Effective
Banks and other financial institutions may think they can prove to regulators they are combatting financial crime and terrorist activities by filing as many suspicious activity reports as they can. Yet more often than not they are missing out on the real criminal activity, say anti-money laundering and compliance managers. No one wants to specify […]
Accounting Rule Upends Contract Management
A new global accounting rule that changes the way revenue is recognized and disclosed on financial statements is going to give fund management firms, financial technology shops and data providers a lot more stress. Contract management, financial reporting, IT, legal counsel and even human resource directors will have to work together more closely than ever […]
DSB Floats a New Payment Plan for OTC ISINs
Swaps dealers and other financial firms which need international securities identification numbers (ISINs) for over-the-counter derivative contracts will pay for receiving the codes based on one of three new categories they select from a new pricing model released by the Derivatives Service Bureau (DSB), being launched by the Association of National Numbering Agencies (ANNA). The […]