January 17, 2024 (NO COMMENTS)

US regulators may be underestimating the capital impact of proposed trading book rules due to take effect in 18 months, according to a new industry study.

Two industry groups – the International Swaps and Derivatives Association and the Securities Industry and Financial Markets Association – collected market risk data from the eight US global systemically important banks (G-Sibs) as part of their response to the Basel III endgame proposals issued by US prudential regulators in July 2023.