Ok, So the Greece just voted in a landslide to reject further austerity (Good for them). So nobody knows what’s going to happen next. There nothing like a financial crisis to get adrenaline pumping, Might be the chances of Grexit be higher now, but I would not dig in to detail. Would rather move away to the maverick author Nassim Nicolas Taleb who made the points for Bailouts and Prevailing culture in the financial domain
- The main difference between government bailouts and smoking is that in some rare cases the statement “This is my last cigarette “holds true
- The difference between banks and Mafia: banks have better legal regulatory expertise, but Mafia understands the public opinion. Or you can say”Give a man a gun and he can rob a bank. Give a man a bank and he can rob the world”
The problems of Greece is not new, long before the financial crisis hits the global economy in 2008-09, Greece was in trouble. The combination of structural economic weakness and high structural deficits were compounded by a culture where tax evasion and corruption are both widespread and, to a large extent, acceptable and Euro became the scapegoat. The Euro is a scapegoat. Hard currency is not inherently bad. The real problems are: Continue reading
Whenever the financial crisis happen the concept of bad banks becomes common. In 2009 during the sub-prime crisis so called Lehman crisis the concept of bad banks was very famous.
As per the information from Bloomberg:
The Bank of Portugal unveiled a 4.9 billion-euro ($6.6 billion) bailout over the weekend that will leave shareholders and junior bondholders with losses, while sparing senior creditors and unsecured depositors. Banco Espirito Santo, once the country’s largest lender by market value, will be split in two, with depositors and healthy assets joining the newly formed Novo Bank while bad loans and junior creditors stay with the old bank until it can be shut down.
“To regulators in Frankfurt and Brussels, this must have seemed the safest way to isolate any residual and tail risks” related to the bank’s Angolan unit and loans to other parts of the Espirito Santo group, Citigroup Inc.
Europe finally has agreed on the terms of MiFID II, extending its regulatory reach into fixed income, FX, OTC trading and commodity speculation. Here are seven details you need to know as implementation begins.
We still have technical meetings to go through to finalize details, so the complete text is unlikely to be available until won or close to January 27, but here is what we understand so far:
1. HFT will be restricted through greater testing of algorithms, but there will be no 500 m/s rule.
- Final organizational requirements for investment firms engaged in algorithmic trading have been passed to ESMA Technical Guidelines for greater analysis concerning the risks potentially raised by technology-advanced trading practices. Continue reading
Initially thought of sharing my review on the Wolf of Wall Street today, but I do not wanted to break the series of the EMIR regulations that we ended up yesterday choosing the Trade repositories (TR). Now we stand at the point from the Question no.4 of yesterday’s post.
a) Choose a 3rd Party Provider, following your decision to delegate
b) Decide which TR you will connect to, if you will self-report
c) Liaise with your counterparties to find out their requirements, if you will delegate reporting to them.
Question 4: What are the criteria to be taken into account before choosing my 3rd Party Providers?
The 3rd Party Provider should help you adapt to the new workflow for Trade Reporting as it will serve as the go-between with TRs. Continue reading