Standards & Guidance
Financial trade bodies pledge to fight market abuse
Twelve global financial trade institutions have released
a joint statement promising to undertake initiatives to combat market abuse.
The signatories – including the
American Securitization Forum,
Asian Securities Industry and Financial Markets
Association - and the
European Securitisation Forum – reaffirmed their collective commitment to
promote fair and competitive markets in which the inappropriate use of insider
information is not permitted. They warned that allegations of market abuse have
the potential to damage confidence in the integrity of the securities and
derivatives markets.
Lombard in the Financial
Times (14 December) suggested that while the associations claim their
statement is simply active housekeeping, the unregulated credit derivatives
market is fertile ground for wrongdoing, and the lack of a big scandal so far
may simply be a result of extreme debt market exuberance. This appeal is timely,
said Lombard, but it may yet need the threat of regulatory intervention to
persuade the market to change its ways.
Links
American Securitization
Forum
Asian Securities Industry and Financial
Markets Association
European Securitisation
Forum
Financial Times
January, 2007 |
