The European Banking Authority (EBA) has recently published the findings from its fourth and final round of reviews of competent authorities’ approaches to tackling money laundering and terrorist financing (ML/TF) risks in the banking sector. With this round, the EBA has now assessed all competent authorities that are responsible for the AML/CFT supervision in thirty EU/EEA member states. Continue reading…

The Financial Stability Board (FSB) has on 12 December published its finalised recommendations to promote greater alignment in data frameworks related to cross-border payments and consistency in the regulation and supervision of bank and non-bank payment service providers. These recommendations advance key actions from the G20 Roadmap to address legal, supervisory, and regulatory issues in cross-border payments. As part of these efforts and to enhance private sector engagement, the FSB is inviting market stakeholders in cross-border payments to join its Taskforce on Legal, Regulatory, and Supervisory matters (LRS Taskforce). Continue reading…

by Uzi Rosha

At the heart of the adviser-client relationship is the fiduciary standard, which obligates advisers to act in their clients’ best interests. It is fundamental to preserving trust and ensuring the integrity of the advisory relationship. This duty extends beyond mere disclosure and requires a proactive approach to managing conflicts. Conflicts of interest are pervasive in the advisory industry, particularly for private fund advisers. By identifying, disclosing, mitigating, and avoiding conflicts of interest, investment advisers can align their practices with regulators’ rigorous standards and protect the interests of their clients. However, it is not always the easiest responsibility to fulfil. Continue reading…

Eurojust, Europol and the European Judicial Network have published the 2024 edition of the SIRIUS European Union (EU) Electronic Evidence Situation Report. First presented at the SIRIUS Annual Conference to an audience of EU law enforcement and judicial authorities, policymakers, and representatives of service providers, the report reflects on the evolving legislative framework and the growing reliance on electronic data in criminal investigations, while highlighting the persistent barriers to effective cooperation in accessing electronic data across borders for investigation and prosecution of crimes.

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The European Supervisory Authorities (EBA, EIOPA, and ESMA – the ESAs) together with the European Central Bank (ECB), has recently released the results of the one-off “Fit-For-55” climate scenario analysis. Under the scenarios examined, transition risks alone are unlikely to threaten financial stability. However, when transition risks are combined with macroeconomic shocks, they can increase losses for financial institutions and may lead to disruptions. This calls for a coordinated policy approach to financing the green transition and the need for financial institutions to integrate climate risks into their risk management in a comprehensive and timely manner. Continue reading…

The European Central Bank (ECB) has published its second progress report on the preparation phase of a digital euro, which was launched on 1 November 2023 and is laying the foundations for the potential issuance of a digital euro. Since the publication of the first progress report, the ECB has updated its digital euro scheme rulebook, aimed at harmonising digital euro payments across the euro area. Continue reading…

The Jülich Supercomputing Centre (JSC) at Forschungszentrum Jülich received a 100-qubit quantum computer from Pasqal, a world leader in neutral atoms quantum computing technology, in mid-November. The new quantum computer is part of the EuroHPC JU project HPCQS and will be coupled with the JURECA DC supercomputer at JSC. This will enable European researchers to use hybrid classical-quantum resources to solve complex challenges. Continue reading…

by Hassan Zebdeh

Trade-based financial crime (TBFC) is one of the most insidious threats to global finance. This shadowy practice has been plaguing international trade for years, perhaps as long as modern trade itself has existed. It’s the biggest fraud most people never heard of, quietly siphoning away trillions under the radar of even the most vigilant regulators. Continue reading…

According to the FCA’s latest research on consumer attitudes and behaviours towards crypto, 12% of UK adults now own crypto, up from 10% in previous findings. Awareness of crypto also rose from 91% to 93%. The average value of crypto held by people increased from £1,595 to £1,842. Respondents told the FCA that information from family and friends was the most common source of information for those who had never bought crypto. Only 1 in 10 people say they did not do any research before buying crypto. Continue reading…

The Financial Stability Board (FSB) has recently published the 2024 list of global systemically important banks (G-SIBs) using end-2023 data and applying the assessment methodology designed by the Basel Committee on Banking Supervision (BCBS). The number of banks identified as G-SIBs remains at 29; there were no additions or removals from the list. However, compared with the list of G-SIBs published in 2023, Groupe Crédit Agricole has moved from bucket 1 to bucket 2 (corresponding to a higher capital requirement), while Bank of America has moved from bucket 3 to bucket 2 (corresponding to a lower capital requirement). 

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