.jpg)
The Board of the International Organization of Securities Commissions (IOSCO) met in Montreal to
advance its work on regulatory reform and seek new ways to enhance market integrity and efficiency, identify and reduce systemic risk, and strengthen investor protection.
The two day meeting on 18 – 19 June highlighted IOSCO’s commitment to identifying emerging risks and new market trends in a proactive and forward-looking way. The meeting was the first chaired by new Board Chairman Greg Medcraft of the Australian Securities and Investments Commission.
The meeting was preceded by a Round Table attended by the Board and six external experts drawn from industry, academia and the regulatory community on behavioral economics and social media. The participants discussed how regulators could best use behavioral economics to build confidence and encourage informed decision making by retail investors. They also analyzed the opportunities and the risks that social media pose for the financial service industry and market regulators. Board members agreed to embed behavioral economics in IOSCO’s approach to regulatory work going forward, as a means to enhance the effectiveness of market regulation. Members also agreed that social media could serve as a vehicle to influence investor behavior, gather market intelligence and identify market trends, thereby furthering IOSCO’s effort to be proactive and forward looking. IOSCO´s new Committee on Retail Investors also was encouraged to examine this issue.
Mr. Medcraft outlined the challenges securities regulators face globally and the role IOSCO would playin dealing with them.
Click here for full details.
