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Accounting Standard Setting In A Rapidly Evolving Business Environment: A Focus On The Timely Delivery of Investor Priorities, Paul Munter, SEC Chief Accountant, Feb. 14, 2023

Date 14/02/2023

Introduction

One year ago, we issued a statement stressing the importance of the Financial Accounting Foundation (“FAF”) and Financial Accounting Standards Board’s (“FASB”) efforts to improve accounting standards and the standard-setting process, including the vital investor outreach performed through the FASB’s 2021 Agenda Consultation. Since then, the FASB’s technical and research agendas were reprioritized, largely to focus on investor and other stakeholder priorities identified through the agenda consultation process. Recently, the FASB has made progress on many reprioritized projects, such as disaggregation of income statement expenses; accounting for and disclosure of crypto assets; improvements, including further disaggregation, to income tax disclosures; and segment reporting. Completion of these and other reprioritized projects in a timely manner is critical to the quality of accounting standards and the resulting quality of financial reporting. As FASB standard-setting projects move forward, we believe there are continued opportunities for improvement to the standard-setting process, and that constructive collaboration by preparers, investors, auditors, and other stakeholders, with a focus on timely solutions that meet investor financial reporting needs, is key to the development of high-quality accounting standards for the benefit of the financial reporting system, investors, and issuers.

CFTC’s Energy And Environmental Markets Advisory Committee To Meet February 28

Date 14/02/2023

CFTC Commissioner Summer K. Mersinger, sponsor of the Energy and Environmental Markets Advisory Committee (EEMAC), today announced the EEMAC will hold a public meeting from 10:30 a.m. to 3:00 p.m. (CT) on Tuesday, February 28 in Nashville, Tennessee at the Nashville Public Library. Members of the public may also attend the meeting virtually and if space permits, in person.

EBA Updates Some Important Q&As In The Area Of Own Funds And Eligible Liabilities

Date 14/02/2023

The European Banking Authority (EBA) has updated some of its existing Q&As on own funds and eligible liabilities to ensure consistency with the revised final draft Regulatory Technical Standards (RTS) on own funds and eligible liabilities submitted to the European Commission in May 2021. While the latter have not been finally adopted yet, the EBA deemed it important to already provide clarity to institutions and market participants on some undisputed aspects related to the RTS that are particularly relevant for their practical implementation of the Capital Requirements Regulation (CRR) and the RTS.

BIS: Constrained Liquidity Provision In Currency Markets

Date 14/02/2023

Summary

Focus 

The paper focuses on the role of financial intermediaries in supporting the functioning of the foreign exchange (FX) market. We argue that the capacity of intermediaries to provide liquidity is tied to their ability to absorb risk, which affects the cost of liquidity provision and the FX market's overall functioning. We examine two key questions: (i) do intermediaries' constraints increase the cost of market liquidity, and (ii) does liquidity provision become less elastic when constraints on intermediaries tighten?

EBA Publishes Final Draft Technical Standards Defining The Homogeneity Of The Underlying Exposures In STS Securitisation

Date 14/02/2023

The European Banking Authority (EBA) published today its final draft Regulatory Technical Standards (RTS) setting out the conditions for the assessment of the homogeneity of the underlying exposures in a pool of a Simple Transparent and Standardised (STS) on-balance-sheet securitisation. Homogeneity is one of the key simplicity requirements enabling originators and investors to properly assess the underlying risks while facilitating investors due diligence.

CCP12 Responds To The CFTC NPR On Reporting And Information Requirements For DCOs

Date 14/02/2023

CCP12 has published its response to the CFTC NPR on Reporting and Information Requirements for DCOs (Link).

ETFGI Reports The ETFs Industry In Japan Gathered Net Inflows Of US$358 Million In January 2023

Date 14/02/2023

ETFGI, a leading independent research and consultancy firm covering trends in the global ETFs ecosystem, reported today that ETFs industry in Japan gathered net inflows of US$358 million during January. Assets invested in the ETFs industry in Japan increased by 5.1% from US$454 billion at the end of December to US$477 billion during January, according to ETFGI's January 2023 Japanese ETFs and ETPs industry landscape insights report, an annual paid-for research subscription service. (All dollar values in USD unless otherwise noted.)

Statement Of CFTC Commissioner Kristin N. Johnson Regarding CFTC Action Against Retail Forex Ponzi Scheme Targeting Spanish Speakers In Puerto Rico And The Continental United States

Date 14/02/2023

The Commodity Futures Trading Commission (CFTC) last Friday filed a complaint against FX Latino Inc. (FXL), Ramon Salvador Delgado-Gomez (Gomez), FXL Investment PR LLC, JRH Services Inc., Walmy Rivera-Santiago, Infinity Investment and Construction Management Corp., and Hector Javier Santos-Pagan (collectively, Defendants), in the U.S. District Court for the District of Puerto Rico.  The Defendants allegedly launched advertisements on social media platforms such as Instagram and promoted public seminar and investor coaching campaigns to entice more than two thousand investors to invest at least $27 million.  To attract investors, Defendants promised to generate profits through their successful foreign currency (“forex”) trading platform.  Similar to any number of “get-rich-quick” schemes promising exceptional returns while, in fact, perpetuating financial fraud, Defendants never actually engaged in trading or generated any profits.

Hellenic Capital Markets Commission And Athens Stock Exchange: Annual Financial Reports Using The European Single Electronic Format (ESEF)

Date 14/02/2023

This common announcement of the Hellenic Capital Markets Commission and of the Athens Stock Exchange concerns the obligations of issuers whose securities are admitted to trading on the regulated market of the Athens Stock Exchange, regarding the annual financial reports in accordance with the European Single Electronic Format (hereinafter the ‘ESEF'), for financial years beginning on or after 1 January 2022.

CME Group To Launch Event Contracts On Bitcoin Futures On March 13

Date 14/02/2023

CME Group, the world's leading derivatives marketplace, today announced it will expand its suite of event contracts to include Bitcoin futures on March 13, pending regulatory review.