Day: 1 August 2018

EC Levels FX Charges Against Credit Suisse

Credit Suisse has revealed in its Q2 financial report that the European Commission (EC) is alleging that the bank engaged in anti-competitive practices relating to its FX business.

“On July 26, 2018, Credit Suisse Group AG and certain affiliates received a Statement of Objections from the European Commission (Commission), alleging that Credit Suisse engaged in anti-competitive practices in connection with its foreign exchange trading business. The Statement of Objections sets out the Commission’s preliminary views and does not prejudge the final outcome of its investigation,” the report states.

A spokesperson for Credit Suisse declines to comment on the news.

CLS Adds Japanese Funds to Settlement Service

CLS has announced today that the first Japanese-domiciled funds have access to CLSSettlement as third-party clients.

Asset manager Fidelity International and The Master Trust Bank of Japan  (MTBJ), a trust bank exclusively engaged in asset management, have the first Japanese-domiciled funds to settle FX transactions in CLSSettlement. CLS says that this marks the start of a coordinated industry-wide effort to onboard the Japanese buy-side community to its settlement service over the next few years.

Fidelity International and MTBJ are being supported by Brown Brothers Harriman (BBH), which acts as MTBJ’s custodian for non-Japanese securities and related currency movements outside of Japan. BBH has made its third-party access to CLSSettlement available to facilitate MTBJ’s settlement of FX transactions.

What Next for Crypto Regulation? A Washington Insider’s View…..

Profit & Loss’s latest OnTheBlock series featured a one-one-one discussion with former CFTC staffer Justin Slaughter, now a partner at Mercury Strategies, in which he provided an insider’s perspective on how cryptoassets are being viewed by regulators in Washington, DC.

P&L OnTheBlock: An SEC official recently said that the agency does not  view ether[eum] as a security. Does this mean that the issue is settled and the SEC definitely won’t try and regulate it as a security now? 

Justin Slaughter: What we are basically hearing is that there isn’t an explicit, major problem with ether as a security. They are not yet saying it’s totally, absolutely, not a security.

Scott Wins Extradition Appeal

HSBC’s former head of FX trading for Europe, Stuart Scott, has won his appeal against the decision to extradite him to the US to face trial over allegations that he took part in front running trading relating to an order for Cairn Energy.
Scott’s former boss, Mark Johnson, was convicted of charges related to the Cairn Energy deal in a US court last year and sentenced to two years in jail earlier this year, however he is appealing the decision and won a bail application in June.