Financial Regulatory Developments (FReD) – 17 July 2015

HEADLINES

• EP votes on CMU resolution
• EBA publishes product governance guidelines
• FCA publishes mortgage advice review results
• FCA publishes new enforcement referral criteria
• FCA consults on NRFB disclosure
• PRA consults on leverage ratio framework

EUROPEAN UNION AND INTERNATIONAL

Financial Stability Board (FSB)

FSB reports benchmark reform progress: FSB has published an interim progress report on its efforts to reform the major interest rate benchmarks (IBORs), and to develop and introduce alternative near risk-free interest rate benchmarks (RFRs). The report notes:

• since July 2014, the administrators of the IBORs have all taken major steps in strengthening the benchmarks they administer and other reference rates based on unsecured bank funding costs by underpinning them to the greatest extent possible with transactions data;