BOE mulls bank leverage ratio rules to curb window dressing
London
THE UK Prudential Regulation Authority (PRA) proposed requiring banks to report their leverage ratios daily in a bid to prevent them from gaming new rules intended to bolster financial stability.
Allowing lenders to report less frequently may tempt them to tweak their balance sheets around the reporting date, a process known as "window dressing", creating a false impression of the risks that they are carrying. Off-balance-sheet risks will be reported as a monthly average, and firms will be able to use best estimates, the London-based PRA proposed.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Banking & Finance
BNP Paribas beats estimates as lower costs offset trading slump
Japan brokerage Daiwa’s Q4 profit more than doubles as markets recover
Barclays Q1 profit falls 12% as mortgage competition, deals drought hit
Deutsche Bank Q1 profit jumps 10% as investment bank outperforms
Latest Singapore 6-month T-bill offering cut-off yield of 3.74% as applications dip
Morgan Stanley Asia private equity unit to reorganise as CEO retires