Regulation
Prepare now for the inevitable: T+1 isn’t just a US challenge
The DTCC’s Val Wotton believes that firms around the globe should view North America’s move to T+1 as an opportunity—because it’s inevitable.
FCA declines to directly regulate market data prices
A year-long investigation by the UK regulator to determine whether competition is hindered in the wholesale data markets has concluded with its decision not to directly regulate much-maligned data pricing and licensing structures.
Bloomberg updates risk analytics platform to cope with FRTB regional shifts
The data giant is also rolling out updates for climate risk and asset liability management on its platform.
Settling scores: industry pushes back on new penalties in settlement efficiency drive
Esma is asking for feedback on proposals that could see penalties for settlement fails increase by 25 times. But affected parties say adapting to the new system would be a technical upheaval and are calling for more structural reform.
How GenAI could improve T+1 settlement
As well as reducing settlement failures, researchers believe generative AI can provide investment managers with improved research, prioritization, and allocation resources.
Modernizing architecture can reduce long-term costs
A perfect storm of regulation and accelerated tech advancement is forcing modernization unlike anything the markets have seen before, says Nasdaq’s Gil Guillaumey.
As T+1 looms, non-US firms consider out-of-hours trading
Pruned settlement cycle forces foreign buy-siders to explore automating the FX leg of securities trades.
Dora technical standards shoot for break in the clouds
One goal of the EU’s latest ICT risk act is to mitigate cloud concentration. Some experts say it may make it worse.
Hot topic: SEC climate disclosure rule divides industry
Proposal likely to flounder on First Amendment concerns, lawyers believe.
Waters Wavelength Podcast: Tim Baker on Cusip lawsuit, data copyrights, and innovation in market data
Expero’s Tim Baker joins the podcast to talk about the ongoing Cusip suit and regulatory intervention in the market data space.
Blood, sweat, and tiers: how the SEC’s exchange rebates proposal could reshape US equities markets
The proposal to overhaul volume-based rebates for agency brokers may create significant shifts in liquidity, order routing, and competition. And industry practitioners are split on whether it’s for better or for worse.
Waters Wrap: T+1 and too many proposals
Anthony believes that there’s a growing chasm emerging between regulators, senior business execs, and technologists—which is especially evident when it comes to the T+1 debate.
‘When, not if’: EU plots course for T+1 transition
Not everyone saw eye to eye at a European Commission roundtable discussing how to shorten settlement cycles, but most participants recognized the need to make the transition to T+1.
The IMD Wrap: Market data budgeting for 8-year-olds
Balancing a market data budget is challenging enough, but it’s even harder when cost pressures are tight, and when fees and discounts create extra confusion.
Trade reporting challenges require data re-think
Data accuracy issues are hampering some firms’ regulatory reporting abilities. So why aren’t data professionals more involved? And how can compliance costs be turned into revenue drivers?
Ticking clock: Firms in Asia face unique T+1 challenges
Firms in Asia worry about unintended consequences of massive change to settlement cycle.
AI expert warns of algo-based market manipulation
An artificial intelligence professor warns of machine learning ‘arms race’ for regulators against those seeking to use new technologies to manipulate financial markets.
Regulators’ FRTB estimates based on faulty premise—industry study
US market risk capital requirements could more than double if banks abandon IMA
Price gouging? New study finds market data providers consistently inconsistent in pricing, discounts
As the industry awaits the FCA’s findings from its Wholesale Market Data Study, end-users pin their hopes on the prospect of relief. But a new study from Substantive Research details the enormous pricing disparities that must be tackled.
The IMD Wrap: As crypto rises, yes, reference data is VERY important
With the SEC’s approval of spot Bitcoin ETFs, Max explains why reference data will take on greater importance—whether non-data people know it or not.
Politics, public opinion collide in EC identifier consultation
The European Commission has said neither the Isin nor the UPI is ‘suitable’ for price transparency, and proposed modified alternatives in an industry consultation.