International Financial Regulation

By Peter King, Arnold Buessemaker, and Sylvia Mayer

Weil partners Peter King, Arnold Buessemaker, and Sylvia Mayer co-authored an article regarding the European Commission’s long-awaited proposed directive on bank resolution and recovery planning. The authors discuss the key aspects of the proposed directive as well as the challenges and opportunities the directive presents to European Union banks and their counterparties.

Read the full article.

Two years ago, on July 21, 2010, President Obama signed into law a package of financial regulatory reforms unparalleled in scope and depth since the New Deal. The Dodd-Frank Act was intended to restructure the regulatory framework for the US financial system, with broad and deep implications for the financial services industry where the crisis started. But its impact also was intended to be felt well beyond the financial sector, extending federal regulation into areas of corporate governance applicable to all US public companies.

Few provisions of the Dodd-Frank Act took effect in the summer of 2010. Instead, the specifics of the Act were intended to be developed through the federal rulemaking process, as the Act mandated the development and implementation of nearly 400 separate regulations to be enacted by, or coordinated among, nearly a dozen federal departments or agencies. To date, the deadlines for more than half of the required rulemakings have expired. But even with these delays, the last two years have witnessed the promulgation of more than 100 rules and the issuance of many additional proposed regulations for public comment. This Report discusses the many strides that have been made pursuant to the Act to date and forecasts what is yet to come.

Click here for a PDF of the full report.

On June 19, 2012, the Financial Stability Board (“FSB”) issued a progress report to the G20 Leaders on the steps FSB member nations have taken to implement financial reforms designed to improve the stability of the global financial system.  The FSB reviewed, among other things, its members’ Basel implementation, adoption of resolution-planning regimes, oversight of the so-called “shadow banking system,” reform of the OTC derivatives market, and the effectiveness of the FSB itself.  The FSB concluded that its member nations have made significant progress in implementing globally agreed financial reforms, but large strides are still necessary—particularly regarding recovery and resolution planning—to protect the global economy against future financial crises.

What is the FSB?

The FSB is an [click to continue…]

On 14 June 2012, the UK government published a White Paper giving details of its proposals for banking reform in the UK, which closely follow the recommendations of the Independent Commission on Banking chaired by Sir John Vickers (the “Vickers report”). As Vickers suggested, the UK is proposing to introduce a requirement for banks to “ring fence” certain retail activities and separate them from investment banking activities. This “ring fence” is effectively the UK’s version of the Volcker rule.

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Weil’s David Elphinstone has written an interesting article exploring a resolution passed last month by the European Parliament adopting, with amendments, the European Commission’s proposal for a regulation relating to short selling and certain aspects of credit default swaps.

Download the full-text PDF.