The leading knowledge platform for the financial technology industry
The leading knowledge platform for the financial technology industry

A-Team Insight Blogs

Fair Value Accounting Debate Continues in US House of Representatives

The ongoing debate about mark-to-market accounting has taken another turn, as the chairman of the US House of Representatives Financial Services Committee, Barney Frank, suggested earlier this week that the industry needs more flexibility in the area of valuations.

He told the meeting that he currently has no plans to legislate accounting practices or to scrap the mark-to-market rule, which forces financial companies to value certain assets at their current market prices. However, Frank did say that he wishes to make it easier for companies to apply the rule during the financial crisis by adding modifications to the mark-to-market requirements.

He is particularly concerned with aspects of the accounting rules that trigger automatic consequences when institutions mark the value of their assets in line with market conditions, which currently often reduce their value. Discussions about what these particular “modification” may involve are ongoing.

Related content

WEBINAR

Recorded Webinar: A new way of collaborating with data

Digital transformation in the financial services sector has raised many questions around data, including the cost and volume of reference data required by each financial institution. Firms want to pick and choose the reference data they need to fulfil their requirements. Emerging solutions with the potential to decrease the cost of data and increase flexibility...

BLOG

ESMA Report Calls for Improvement in EMIR Data Quality, Monitoring of SFTR Data

The European Securities and Markets Authority (ESMA) has published a report on European Markets Infrastructure Regulation (EMIR) and Securitised Financing Transactions Regulation (SFTR) data quality – and it’s not all good news. While progress has been made, more effort is needed by national competent authorities (NCAs) and ESMA to further improve EMIR data quality. The...

EVENT

RegTech Summit London

Now in its 6th year, the RegTech Summit in London explores how the European financial services industry can leverage technology to drive innovation, cut costs and support regulatory change.

GUIDE

Hosted/Managed Services

The on-site data management model is broken. Resources have been squeezed to breaking point. The industry needs a new operating model if it is truly to do more with less. Can hosted/managed services provide the answer? Can the marketplace really create and maintain a utility-based approach to reference data management? And if so, how can...