The Basel Committee on Banking Supervision's decision to ease Basel III is a concession to major banks, The New York Times writes. A broader definition of asset classes and more implementation time are conducive to facilitating a crisis, not averting one, according to this editorial.
The European Parliament and the Council of the EU have been granted a one-month delay, until 19 February, to examine rules within legislation on over-the-counter derivatives. Lawmakers had noted that "adoption of the delegated regulations shortly before Parliament's winter recess made it impossible for Parliament to exercise its scrutiny rights within that period". The rules were developed by the European Securities and Markets Authority and the European Banking Authority in support of the European Market Infrastructure Regulation.
European Central Bank President Mario Draghi is changing the culture of the ECB. The Italian has changed the way the bank is viewed across Europe by combining aggressive policies with a more laid-back work culture.
Members of the UK Parliament questioned UBS senior executives for nearly three hours Wednesday about issues related to the London Interbank Offered Rate. UBS paid $1.5 billion, the largest fine in the investigation, to authorities worldwide for its involvement. "We all got probably too arrogant, too self-convinced that things were correct the way they were," said Andrea Orcel, head of investment banking at UBS. "I think the industry needs to change."
Andrew Waxman takes a look back at 2012 and identifies the top 10 most significant operational risks of the year. Among them: a failure to protect segregated customer assets, sticking to a risk management strategy and business disruptions stemming from natural disasters.